Build Wealth Through Franchising With an Emerging Brand

Franchising is a great way to own your own business by partnering with an existing company. However, hitching your wagon to a budding successful company can be a potentially smart way to create future wealth. Investing and franchising with an emerging brand may just be one of the most important aspects of building your bank from franchising. 

No matter what concept you choose, the chance of financial success can be enhanced by aligning with an advancing brand. Every major brand today started as a single store. Imagine owning a Five Guys location from the very beginning. If you’re able to get in on the action earlier then the returns can be stronger! Just take a look at the numbers. 

Sure, there might be risks associated with franchising with an emerging brand over a more established business, but if you ask us, the rewards far outweigh them! They may be less expensive to join, with much lower fees and better real estate that can be secured in new territories. 

Becoming a multi-unit owner is also the ideal end goal. If you want to build wealth as a franchisee, taking your returns and reinvesting them back into the same concept in order to open and own more locations may benefit wealth creation. 

If you are able to identify potential powerhouse businesses while they are still growing, you can get in on the ground floor of a seriously profitable franchise

While it’s impossible to guarantee which brands are going to take off and become successful sensations all around the world, we can help you spot a brand that’s on the rise with just these few essential questions. 

1. Who is Behind the Brand?

You can tell a lot about the future of a business by taking a look at the owner themselves. A committed leader often reflects a strong determination to be the very best in the market. If you can make sure that they are really passionate about their product, then you can guess that they will go further. A boss always needs to be all in on their business, it takes serious dedication to succeed. Find a franchise where you know you can count on the enthusiasm of the person in charge! 

2. How Fast is the ROI Expected to Be? 

When you franchise with an emerging brand, a key consideration, among many others, is often getting your money back as quickly as possible. A fast ROI can always indicate that it’s a good brand to bet on. It may seem simple, but the sooner you’re able to turn a profit, the better. This allows you to reinvest and become a multi-unit owner. This is the optimal way to build wealth and help grow the brand you’re benefiting from at the same time. 

3. Are They the Real Deal?

If there’s one thing today’s market has made clear, it’s that consumers prefer to pick a brand that they can trust. Buyers want a genuine experience, and they care about the message behind all the marketing. Power to ‘em! You can spot an emerging brand easier by looking at the identity behind the business and even why it was started. Authenticity goes a long way in any market sector. 

4. Does It Have Strong Economic Numbers? 

The numbers never lie. You want to partner with a concept that has already seen some impressive returns. The value of the existing locations should be evident and backed by strong economic units regardless of the sector it’s in. This is such an important indicator to examine when trying to find an up-and-coming business to franchise with. 

5. Is It a Trending Market?

It’s not just the brand that should be emerging, but the market itself as well. When we say trending we don’t mean some passing phase either. Find a sector that has been steadily growing over the course of a few years. See if the demand is there for the product and if it’s likely to increase based on the surrounding culture. You’re searching for a long-term trajectory of scalable growth here. 

Conclusion

The bottom line here is, to make sure to pick a winner! The United States is home to the largest franchise industry in the world. It’s no wonder why so many business-savvy self-starters are flocking to these partnership opportunities. The simple business model and proven framework of a franchise can mean you’re looking at a strong ROI. 

Many are searching for the exact right brand to be a part of and eventually achieve financial freedom. Considering the potential of any particular brand for scalable growth can be the ultimate determining factor in being able to build wealth.

Remember to consider these few important factors when asking about any potential franchise partners. They will help you to see if there is really the potential for the brand to grow and then you can get in on the ground floor. Find out who is behind the brand, how quickly can you expect the ROI, if the brand is authentic, if it boasts steady numbers, and if the market sector is trending up. 

While becoming a franchisee is certainly an easier way to make your riches than starting a brand from scratch, you still need to know exactly what to look for! Finding a way to franchise with an emerging brand can help investors potentially cultivate a lucrative standing within any industry. 

Learn more about how to find out if franchising is the right fit for your financial future by contacting our team of franchising experts today. 

Grow Your Franchise With These 7 Expert Tips

Franchising your business offers many benefits, and the opportunity for rapid growth is one of the front runners. With the ability to scale and expand your business quickly without the need for control over every detail, you can franchise your business and grow into a successful powerhouse. As you expand your business into multiple communities, you recruit, educate, and trust franchisees to become a large part of your expansion journey. 

The franchise model provides the framework to grow your business, as it details an almost formulaic, but flexible structure for expansion. As you adapt your business to the franchise model, you want to follow these tips from our expert franchise consultants to create a truly successful, valuable experience for your customers, clients, and franchisees. 

  1. Establish a Clear Business Model
  2. Create Quality Resources
  3. Focus on Education
  4. Listen to Your Franchisees
  5. Create an Alluring, Valuable Opportunity
  6. Stay Consistent with Your Brand
  7. Work with Expert Franchise Consultants

1. Establish a Clear Business Model 

First things first, you need a clear vision with a proven business model. Your business model will frame the way franchisees will tackle all aspects of their business, from operations to management. Before you franchise your business, you should already be successful. Once you choose to franchise, you need to adapt your already-proven business practices into a scalable, easy-to-replicate structure that anyone can follow. 

Consider ways to innovate your industry and carve a reputable and easily memorable niche for your business as it grows. Hone in on what you do best to offer value to both your franchisees and customers.

2. Create Quality Resources

Setting your franchisees on a path toward success is critical to your overall success as a franchisor. Take the time to consider important resources that you need to train and educate your recruits and their employees. As a business owner ready to franchise, you already know the ins and outs of your business, but it is up to you to pass on this knowledge to allow others to follow you down that path. 

Creating resources is an integral part of the collaborative process between franchisees and franchisors, so it is important to work, and possibly rework, these resources to motivate and inform others. Consider creating documents to help standardize the process as your business grows to multiple locations, such as:

When you create resources, you give answers to many of the questions that franchisees may have as they go to open their own locations. Not only will this give them insight into your solutions, but it will also be a more efficient use of your time.

3. Focus on Education 

Your franchise opportunity is appealing because it removes some of the risk of business ownership with an established, proven model. Franchisees jump on board because they are excited to learn how to take what you have started and create their own successes from it. Because of this value, training should be a primary focus when it comes to your franchisees. 

Prepare franchisees by offering valuable, comprehensive training programs, holding ongoing workshops to keep everyone updated, and performing routine check-ins to ensure they are on the right track. When you franchise your business, you may give up some control over each detail of your business, but you take on a new, instructional role.

4: Listen to Your Franchisees

When you take on the role of a franchisor, you may take a backseat to deal with customers in order to meet the new demands your franchisees require. This is a natural part of the process, as you are making the transition from working in the business to working on the business. Listening to your franchisees gives you a chance to provide them with the tools and resources they need to then deliver and maintain the original customer focus. Take the time to understand their needs so that you can all succeed together.

5. Create an Alluring, Valuable Opportunity

To generate interest in your franchise, you need to create a business that offers value to your investors. When you ask others to invest their hard-earned money into your business, you need to take into account how you can support them and provide unique value to their lives. 

Creating a reputable business is just the first step to adding value to the opportunity you offer. You should also showcase how you can support them through their journey, create a business mission to align with and explore ways to innovate and exceed expectations in your industry. 

To offer value, consider offering competitive and fair pricing to start their franchise journey. Talk with franchisees to offer support and assistance with practices like software and inventory. When you collaborate with your franchisees, you can understand their needs and provide them with direct support with what they truly need - not just in the beginning, but anytime throughout their journey.

6. Stay Consistent with Your Brand

Marketing is another large aspect of your franchise's success. Creating brand continuity is essential in bringing customers back to your locations, no matter where they are. When people see your brand, they should know to expect the best. To create brand continuity, you will need to adhere to high standards of excellence and quality assurance when building your franchise. Train recruits to understand the expectations of your products and services to achieve this consistency. 

Customers love supporting franchises because they know what to expect. They have been here before, had a great experience, and expect that same treatment at their next visit. Creating loyal customers depends on consistency and reputation. Although you want your franchisees to feel comfortable trying new things and spreading the word in their local community in their own ways, you need to set clear expectations on the quality and service you expect.

7. Work with Expert Franchise Consultants

Once you have a successful business, you may be ready to expand your business with franchising. Creating resources, recruiting the right people to join your venture, and establishing a consistent brand within your industry can all be more difficult when you start to replicate your business in multiple locations. To work through any difficulties associated with franchising your business, you may want to work with franchise consultants. 

Conclusion

Our team has extensive experience building large brands, creating scalable business models, and recruiting and training franchisees to help you grow and franchise your business. Consultants have the answers to those questions that you may be struggling with as you learn the franchising framework.

Let the FMS Franchise help you through every step of your franchising journey! To learn more about our experience and services, get in touch.

How to Start a New Franchise Effectively

Starting a new franchise requires careful planning, vision and the ability to develop excellent relationships. There are many businesses and industries where franchise distribution is a viable expansion model and certainly, in most business categories, there are examples of fantastic successes in franchising. But how did these entrepreneurs start their franchise expansion journey?

First, it started with an understanding of scale and a single entrepreneur's humility to understand that there is more of a market for their product or service than they could conquer on their own. Starting a franchise model to scale and leverage independent franchise ownership allows the business owner to leverage the franchisee’s capital and commitment to their own small business. Next, the business owner must develop a mutually beneficial structure for the franchise offering.

To start a franchise means to offer a partnership to new franchisees who will invest their money, time and hard work into the business. They too must win and see value in the franchise not only to make the decision to join but also to stay and support the franchise brand.

Then, when you start a franchise, you must develop your systems, processes and operating models in a way that will allow approved franchise candidates to duplicate your business in their markets. Training, support, technology and other variables will play a significant role in how effective a franchise will be. Then, to start a franchise, marketing, business development and branding need to be structured to attract and sell the vision of the franchise offering.

Franchisees should see and understand what potential for success they have with your brand and be able to understand how they fit into your plans for expansion. Particularly when first starting a franchise, you should plan on attracting a large volume of potential franchisees due to the lower conversion ratio of leads to franchisees.

A new franchise brand will require a larger number of candidates to convert franchise sales, so you should have the marketing, lead generation and sales processes in place to facilitate this franchise marketing venture.

Great franchise models are selective in who they allow into the franchise network, set your buyer profile and be careful in who is given the opportunity to join. Finally, when considering whether to start a franchise, you should understand your personality and ability as a leader.

Great franchise systems are facilitated by great leaders who see value in others and are effective in nurturing relationships and helping others be successful. Before you start a franchise model, you need to be willing to take on the responsibility for other financial futures, lives and well-being.

For more information on whether your business is ready to take the next step in franchising, contact us for a consultation.

What is a Franchise?

What is a Franchise?

Whether you’re a new entrepreneur starting out or you’re already an investor looking for more opportunities, learning about a franchise is a great way to go. Maybe you’re wondering what a franchise is or how you get started in owning one. Learning what a franchise is can help you in determining whether you want to invest in a franchise or try to start something from the ground up. Here are a few tips on what a franchise actually is and why it is a great investment for your future.

A Franchise is a Proven Business Model

The franchise business is one that has a proven business model and a platform which can be leveraged by new franchisees. If a company is offering franchise options, it means the business model they have is successful and is making a profit for the company and hopefully, when given the same tools and resources, you as a franchisee can replicate their success in your own business. Those who do not have success in their business model typically do not franchise out. That would not be a wise choice for their company as franchising is merely the replication of a business model and operating system, remember the saying “Garbage In, Garbage Out?”. The franchise business model is one that is proven to work in a variety of markets and will be a profitable and successful business where it goes.

Marketing Systems and Business Development

A franchise also means there is a marketing and development system plan in place already that allows a new franchisee to ramp up their business and customer base in a shorter time period when compared with a new business start up. This model helps you to get the word out about your location in a way that is shown to draw in business. By working through the proven model, you can increase your customer base before you even open up your days. Marketing strategies that have been proven to work are already in place so you do not have to try to come up with your own. The brand image should be established, not necessarily with television or national exposure, but the brand should have logos, color schemes and overall branding already set and in place so that you have the tools and presentation needed to effectively begin your marketing and sales quickly upon starting the business.

Mentors and Network

When it comes to owning a business having a good franchise mentor in place is key to your success. Owning a franchise puts that mentor in place from the beginning and provides people who have been in your shoes and worked in the business model with enough time and experience to be able to provide value to you in what TO do and what NOT TO do. You can work with someone who understands the business, knows the ins and outs, and can assist you in all the bumps you may come across along the way. It also puts in place a readymade network of likeminded business people working together. Not only are you networked with great people, you’re working for yourself instead of for a boss. You can have your dream of owning your own business and being successful with a coach and mentor already in place.

Lower Risk

Starting your own business can bring about a variety of risks (a new business is generally in excess of 90% failure rate when compared to a franchise model which has an 80% or higher success rate). If you invest a lot of your own money into a model that is brand new, you may find yourself at a total loss if the business fails to take off. When you use that investment and buy a franchise, you will find yourself at a much lower risk of loss. The brand and the franchise itself is already proven to work so it’s a better investment for you. You’ll find your money is safer going into a franchise than if you were to try and develop a company, marketing plan, and business on your own.

 

So what is a franchise in the end? 

To sum it up, the best definition we’ve found is “entrepreneurship with a safety net,” we felt that this summed up the concept perfectly.  Franchising, when done right is a great combination of providing people with an investment opportunity to become a business owner without all of the risks, fears and anxiety around how to start the business effectively.  It is your business when you buy a franchise, but you have the guidance and support of an experienced partner in your franchisor. 

For more information on what is a franchise, contact us:

https://franchiseconduit.com/contact/

Life and franchising, a common thread?

Life is a big word, it sort of covers it all, family, work, religion, politics, economy, all of it. Franchising is an expansion vehicle for brands that allows for new market growth. What ties the two together?

Unexpected twists and turns in the road certainly are inherent in both life and franchising. Regardless of how much we plan or try to predict the future, none of us had any idea Donald Trump and Bernie Sanders would still be in the election at this point. In franchising, who could have predicted that blockbuster video wouldn't be here any more?

Franchising offers great promise for growth and the development of a strong brand based on solid company principals that are scaled through the addition of new franchise partners. Life has endless potential when we are young and see the upside in our venture. Through good teachers, wives, husbands and acquaintances, we pave our way to a successful future in whatever we aim to accomplish. Typically, this with strong visions and a commitment to their core values are the ones who tend to have the biggest impact in life. Huh, seems pretty consistent so far....

Franchising creates the potential to replicate ones self through franchisees who buy into the company's vision for growth. Good systems and infrastructure allow this growth to happen and new entrepreneurs to succeed in their own business. Life offers the opportunity for us to influence people, make a difference in others lives and through vehicles such as religion or education create more opportunity and good fortune for others one might come in contact with throughout their journey.

Franchising offers the potential to leave a legacy. Great entrepreneurs have come and gone many years ago who's ideas and words are heard today through successful franchise brands. Life's goals tend to shift towards leaving a legacy for most towards the end of our lives. We aim to leave an impact, stories and memories with family, friends and connections. The most successful can be seen as statues outside ballparks or at the center of town squares.

With all of these commonalities and seeming logic behind the franchise expansion model, why don't more businesses turn to franchising as a growth vehicle? Well, we aren't all great at "life" either. Only businesses that have the right vision, market opportunities and systems can franchise.

For more information on whether your business is ready to start franchising, contact us;
[email protected]