Meet the franchisor and as many of the people in the operation as possible. Ask yourself how you feel about them, do you like them, trust them, enjoy their company? Do you want to ?partner? with them for a long period of time as you develop and run your business? Be sensitive to how the franchisor treats you while you are evaluating the opportunity. Are they timely, professional, open, understanding? Do they communicate appropriately and frequently and show integrity? These first interactions are an important indication of the future relationship you would have with the franchisor. Ask yourself if you would be proud to be associated with them.
Listen to as many of the existing franchisees as possible. Are they enjoying their franchise? Do they get the support they need from the franchisor? Is the franchisor easy to do business with? Does the experience of the franchisee back up the claims made by the franchisor about the potential of the business?
Compare the franchisor's financial predictions of the business potential with the real results of a number of the existing franchisees. Look at the most successful franchise and also look at the results of the least successful franchise. Have there been any franchisees who have failed? Why?
Visit at least one of the franchise operations in action. Can you picture yourself in that environment and doing the daily activities required to run the business? Will you really enjoy what you are doing and look forward to getting up each morning?
Believe passionately in the product or service you will be offering. Every business will require some sort of selling to develop customers. If you believe in what you are offering that belief will shine through when you offer it to others and you will find it easy to sell with full integrity and transparency. Belief in what you are doing will also be key to your own motivation and encourage you to put in the extra effort to build a new business and cheerfully pick yourself up when you face the inevitable obstacles or disappointments.
Do some local research by asking appropriate friends or contacts if they would want the product or service at that price.
Calculate how much capital you need to support yourself until the time the business becomes profitable.
Use these two scenarios
- if you had the same performance as the most successful franchisee,
- if you had the same performance as the least successful franchisee.
Do you realistically have the time you will need to build the business and make it a success? How much time do the other franchisees spend on a daily basis business running their franchise? How much time did they spend on a daily basis during the initial stage of building their business?
Do you have the skills and personality needed? If not, do you feel the franchisor has a programme in place and the skills to train and support you to fill any skill gaps you have related to building and running the business?
Make sure you will receive the ongoing support you will need from the franchisor after the initial training and start up phase. What do the other franchisees who have been operating for a few years tell you about ongoing franchisor support? Do you feel you have the support and encouragement you need from your family and friends to allow you to devote the time and energy needed to make your business a success?
Suri Poulos, Managing Director MindLab Europe plc.
MindLab is a highly successful after-school programme which uses board games from around the world to develop children?s thinking, problem-solving and interpersonal skills - all whilst having fun! Kids, Parents, Teachers, Schools and Franchisees all love it!
http://www.mindlabeurope.com
Suri Poulos is a member of
http://www.WomenWorking4Women.co.uk
