Your business\u2019s growth is off the charts, and perhaps you\u2019ve started to consider whether now\u2019s the right time to franchise your business. But before you take the leap, you must consider how franchising will affect your business model, your customers\u2019 satisfaction, and ultimately your revenue.<\/p>\n
That\u2019s why we asked ten entrepreneurs the following question:<\/p>\n
Q.<\/strong> Business is booming, and I\u2019m thinking about franchising my company. What\u2019s one thing I need to do or consider?<\/p>\n 1. Your Team<\/strong><\/p>\n Drew GurleyScaling is a big decision and it takes people who share in your passion for the business to keep it successful. Not only are you letting go of some control, but you are also bringing new faces to the team. Make sure your team is sound in all aspects and you have succession plans in place as promotions and shifts in responsibility occur. \u2013Drew Gurley, Redbird Advisors<\/p>\n 2. Your Customer<\/strong><\/p>\n Ivan MatkovicWhen franchising, your focus shifts from serving the end shopper to the people you are franchising your business to. Suddenly your company is more about optimizing the infrastructure for other people\u2019s businesses and less about working with the people buying your product. This is a big transition for any organization and especially founders who are used to working directly with customers. \u2013Ivan Matkovic, Spendgo<\/p>\n 3. Your Standards<\/strong><\/p>\n It\u2019s a good sign if you have people or businesses interested in franchising your business. Now, you need to set minimum standards for what skills and experiences are required to run a business like yours and if those interested meet the standards. The criteria might include experience in your industry, a ready base of potential customers, and a certain amount of capital available to start up. \u2013Nanxi Liu, Enplug<\/p>\n 4. Scalability<\/strong><\/p>\n The most important thing to consider before franchising is \u201cis this business scalable?\u201d Think about the systems you have in place and if they\u2019re buttoned up enough to set up potential franchisees for success. You\u2019ve probably encountered issues you needed to get through, so make sure you\u2019ve thought through those things to ensure your new systems will work seamlessly for new owners and locations. \u2013Josh York, GYMGUYZ<\/p>\n 5. Process Documentation<\/strong><\/p>\n Marjorie AdamsDocument your processes at a high level. For example, if you are an HVAC company and want to franchise, take your top 20 calls and document the steps it takes to complete them. You may not capture 100 percent of your cases, but you want your new franchisees to be able to reference these steps. \u2013Marjorie Adams, Fourlane<\/p>\n 6. Your Test Market<\/strong><\/p>\n David CiccarelliIf you have yet to open additional locations, you\u2019ll want to start by trying another location, ideally in a different city altogether where you can truly put your idea to the test. What works in your city may not work in every city because of cultural nuances, a city\u2019s history, or even the climate and seasonal factors. Just be sure that you\u2019re not missing a factor that could be contributing to your success. \u2013David Ciccarelli, Voices.com<\/p>\n 7. Your \u2018Hook\u2019<\/strong><\/p>\n Mikhail ZabezhinskyThe key to franchise success is offering your franchisees unique products or services that they cannot get anywhere else, also called \u201chooks.\u201d Consider what is going to prevent a franchisee from deciding a few years down the line that they know the business better than you and that they can do it on their own.<\/p>\n 8. Research<\/strong><\/p>\n Kevin HenriksonThe most important thing you should do is research franchising. It involves a whole new set of laws, regulations, and other things you should consider before choosing to franchise your company. One other important factor to consider is whether or not your company is successful and presentable. Be sure that your company fulfills a need that is local enough to make sense to scale geographically. \u2013Kevin Henrikson, Outlook iOS & Android @ Microsoft<\/p>\n 9. Quality Management<\/strong><\/p>\n Richard LorenzenMany of our largest clients are franchise companies. What I have observed to be the biggest downfall when first franchising a company is not having a quality control system in place. You need systems that ensure the quality of your product or service is delivered consistently to all of your franchisees\u2013otherwise, your brand will be tarnished quickly. \u2013Richard Loren zen, AchieveIconic.com<\/p>\n 10. How Much Control You Have<\/strong><\/p>\n Jyot SinghThink about scale and ask yourself how much control you want or need over each franchise. Do they need to be cookie cutter, or can owners have some freedom to rationalize and personalize stores? Then, look into best ways to retain the control you want to have throughout your franchises. \u2013Jyot Singh, RTS Labs<\/p>\n","protected":false},"excerpt":{"rendered":" Your business\u2019s growth is off the charts, and perhaps you\u2019ve started to consider whether now\u2019s the right time to franchise your business. But before you take the leap, you must consider how franchising will affect your business model, your customers\u2019 satisfaction, and ultimately your revenue. That\u2019s why we asked ten entrepreneurs the following question: Q. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5,3,2,6],"tags":[],"yoast_head":"\n