Many people dream of owning their own business and working for themselves but in many cases, they don’t follow through with this vision.
The reasons why can vary greatly, from a lack of confidence or proper finance, through to the timing not being right or simply not knowing how to get started.
While making the leap into a franchise business can be particularly overwhelming, the real benefits can be found in the framework, systems, marketing and training that are in place to help you and your business succeed – a safety net that independent business owners don’t have.
To help you make an informed choice, here are five things that may help you get you started:
Step 1 – Evaluate yourself and your business ideas
- What am I passionate about?
- What brands am I aligned to or have a connection with?
- Make a list/brainstorm the reasons why you want to be a business owner and whether the business you are considering meets your needs and timings
- Evaluate your experience and skills – are there any gaps?
- Review your financial position and affordability – do you have the equity that a bank would require?
- Speak to the people you trust and who know you the best – they will provide you with their honest feedback
Step 2 – Assess your financial position
- Review your financial position and affordability – what can I afford?
- Can I obtain finance?
- Where do I get finance?
- What sort of finance do banks provide for existing business and new ‘greenfield’ businesses?
Step 3 – Do your research
- Being informed is the key! Do your research on the business/company that’s of interest to you. How long has the business been established for? How many outlets do they have? What support do they provide to Franchisees? Visit their website and make a visit to some of their existing franchise outlets
- Find out what their recruitment and training process involves. Does it meet your needs?
- Ensure you do your due-diligence on the brand and on the Franchisee network. Interview and meet with as many Franchisees as you can. Prepare a list of questions for the Franchisor and Franchisees to answer
- What are the costs involved with becoming a Franchisee? How long is the term of the Franchise Agreement? What level of involvement is expected of Franchisees?
- Determine if the franchise group is the right business partner for you
Step 4 – What franchise opportunities are available in my desired location?
- Are there any business opportunities that exist with the franchise group that meets my needs?
- Is it in my budget range and can I afford it?
- Can I see myself running this business for the next 5 – 10 years?
- Do I see growth opportunities and financial rewards with these business opportunities?
Step 5 – Seek professional advice
- With any business you investigate and research, you should always seek independent commercial and legal advice. For example, your accountant, lawyer, finance provided, government bodies etc,
- Let these specialists provide you with an independent view that may point out areas you may not have considered
When considering whether owning a franchise business is right for you, it is important to do your homework first. Owning a business is hard work but it can be extremely rewarding, so you want to ensure you own a business that sets you up for success.
Visit our Franchising page to learn more about franchising with Bakers Delight