When considering whether to franchise your business, it is typically recommended that a business work with a qualified franchise consultant to develop the franchise program and structure an efficient model for duplication. It is no secret that the most efficient franchise organizations have great systems. The quality of the product, "catchiness" of the marketing and uniqueness of the concept pale in comparison to the strength of the operating system.
Building a business is a funny thing, as you go and acheive better and bigger things, you somehow forget about the hardships you went through in getting to where you are now and it's easy to forget about the most important ingredients of your business formula that helped your operation become succcessful. When beginning to franchise your business, the franchisee will need these ingredients from you, they will be where you were Day 1 with your business.
There are several key elements to a solid operating system.
1. How do you make or produce what you sell? When you franchise your business, you essentially become a distributor of the products you produce or manufacture. Iif the franchisee is going to be overseeing the assembly, product management or even the production of the product themselves, it is important to have this documented, efficiently organized and possibly patented.
2. How do you deliver the product to the customer? When considering whether to franchise your business, it is essential to have a good product delivery mechanism. Whether it is a showroom, retail center, online ordering system or door to door delivery, the actual process of getting the product or service to the customer should be defined and on paper.
3. How do you manage your staff and employees? Successful franchise development is about the replication of a business model, typically this means that the franchisee will be hiring employees as they build their business. In developing a model to franchise your business, it is essential to have a great employee management system in place. How do you find employees, how do you manage them, what is the training process for new employees, what are job definitions? Any questions pertaining to employee management should be addressed in your franchise model.
4. How do you market your business? This is the most important element of a franchise model. The process of creating a market place and building a local market footprint requires a well documented, defined franchise model. When considering whether to franchise your business, it is important that you can remember and have documented the most effective way to build the franchisee's operation. Can you remember when you had to hunt for food? That's what franchisees will want to know when they open up for business.
When considering whether to franchise your business, it is always recommended that you consult with a qualified franchise consultant who can provide insight and guidance as to how franchising may pertain to your expansion goals.
For more information on franchising, please contact our corporate office: (800) 610-0292.
FMS is a team of expert franchise consulting professionals based in Canada that provides solutions for franchise development, franchise consultation, and expansion of businesses globally.