It’s Time To Expand Into A Franchise
Franchising, which is one method of expansion, has become increasingly popular in the past three decades. There is no doubt as to its success but the important questions are whether it is right for you and whether you are ready to be a franchisor. To help you answer those questions, let’s explore what being a franchisor requires, mentally, physically and financially. No one should enter into franchising with a professional franchise consultant or coach. Profran Consultants, Inc. provides what is considered by many the best consulting and development services in the nation.
You first need to appreciate that franchising is a business in and of itself. Inversely, some less than superb concepts have made a name for themselves as a result of a superior franchise system.
The offer of a franchise is subject to state and federal rules. You must present prospective franchisees with a specially prepared declaration document ( known as an offering circular ) in strict compliance with those regulations at least 10 working days before they sign the franchise agreement or pay you any cash.
Similarly, any form of advertising which is employed to solicit a prospective franchisee must comply with governmental laws.
To be a successful franchisor, you must be committed to meet these and other requirements. [**] it is very possible for you to do that in an efficient demeanour with a bit of help from people experienced in the franchising process – as long as they have your best interests at heart.
You have, without doubt, heard of the superb quantities of money which a franchisor may gain from a franchise system by way of the initial franchise fee, monthly royalty payments and contributions to the advertising budget from franchisees. Although you may finally realize great profits from your franchise system, the road leading up to that result may be costly. We have a belief in teaching the customer to do or oversee the maximum amount of the work the customer is willing to do himself.
Proper franchise development does take time. Depending on the amount to which you want to plug your offering, you should be prepared to devote six months to one year to that task. Don’t expect to create the necessary documentation overnite and head direct to marketing. You have to be trained to think and act like a franchisor, to learn the new business that you area in and the needs that it comprises and to make smart, informed choices regarding the structure of the franchise system. In addition, registration of your offering with a state regulatory agency can take a fair deal of time and patience.
Who should you choose to develop your franchise system? Profran Consultants has the experience and track record to take you thru each aspect of franchise development.
One franchise Ken is very excited about is Skadoit. You may want to take a serious look at this franchise.
Ken Hollowell has been consulting with potential franchisors for over 30 years. As of 2009, Ken has developed over 800 different businesses.