Franchise Queries

Discussion in 'Growing and Managing a Business' started by RestOwner, Jan 14, 2011.

  1. RestOwner

    RestOwner
    uix_expand uix_collapse
    Member

    Joined:
    Mar 18, 2010
    Messages:
    393
    Likes Received:
    0
    What do I need to know about Franchising?
     
  2. Fergal

    Fergal
    uix_expand uix_collapse
    Premium Member
    Premium Member

    Joined:
    Nov 18, 2007
    Messages:
    10,578
    Likes Received:
    1,163
    That's a pretty broad question RestOwner and books have been written on the subject of franchising. If you are considering getting into a franchise business you probably need to know the following;

    • Franchise businesses have a higher success rate than normal businesses
    • There are poor franchise systems, so when choosing a franchise you need to be careful that you are picking a good one
    • When considering a particular franchise speak to existing franchises and not just the ones that the franchisor recommends you speak to. Ask them about their experience and if they would recommend the franchise.
    Do you have any specific questions on franchise businesses?
     
  3. Gary Barzel

    Gary Barzel
    uix_expand uix_collapse
    Member

    Joined:
    Jan 10, 2011
    Messages:
    135
    Likes Received:
    48
    You need to ask yourself a few questions before going into a franchise business. Does the prospective franchiser have a good background and reputation? Has the franchise operated successfully within several different locations for at least 3-5 years? Are there any complaints or litigation's against it? Is there a solid business model that is both doable and potentially profitable? Both the Federal Trade Commission and the Better Business Bureau have information on various franchises for prospective franchisees needing to conduct background research, so make sure you do your homework first.
     
  4. justinblue111

    justinblue111
    uix_expand uix_collapse
    New Member

    Joined:
    Feb 11, 2011
    Messages:
    2
    Likes Received:
    0
    Really, a pretty broad question but follow these points before franchising your business as you will have to analyze your business first that whether it ready for franchising or not which is the first step of franchising. Ask these questions from yourself and find how many can be answered yes from you.

    1. Can your success be duplicated?
    2. What are your sole promotion schemes?
    3. Can your system be duplicated?
    4. Do you business has more than one location now?
    5. Finance which matters a lot.
     
  5. Arro12

    Arro12
    uix_expand uix_collapse
    New Member

    Joined:
    Jul 13, 2012
    Messages:
    13
    Likes Received:
    0
    There's a little Q & A on starting and owning a franchise, what amount of capital is needed from the onset, types of training offered and what qualities are needed from a professional level. It's based on moving franchise opportunities, but you should be able to take away some pointers for other specific business types.
     
  6. danadlington

    danadlington
    uix_expand uix_collapse
    Member

    Joined:
    Aug 4, 2012
    Messages:
    52
    Likes Received:
    10
    I have a friend who is also looking into franchises. What they had to tell me about costs was interesting. Touching briefly on it here.

    Initial costs

    The franchisor up-front fee
    Premises
    equipment
    Initial Stock

    There are also ongoing costs that need to be considered.

    Management service Fee.
    Ongoing tock purchasing
    Training costs
    Possible contribution to national advertsing campaigns.

    I hope this helps.
     

Share This Page