Most prospective franchisees have many questions about what the business entails.
They want to know everything regarding its functioning, the legal aspects, the amount they need to invest, and more.
While it is crucial to research the company you plan to franchise for, there are also some basic things to focus on. Finding a franchise opportunity that aligns you’re your objectives can take between three and four months, and you need to consider these things to determine if the business is a good match for you:
You’ll also need to develop your business plan, meet with your franchise lawyer for one or more consultations, and consult an accountant with experience with small business taxation and similar topics. They all require time.
But beyond the initial research and groundwork phase, how do you get your franchise business open as soon as possible? Here are three steps you’ll need to take before you open your franchise:
It’s crucial to be aware that finding the right location that both you and the franchisor approve of may take longer if you acquired a franchise that needs a physical presence. The great news is that many franchisors have specialized real estate divisions that aim to find and secure excellent properties for franchisees. The whole process of procuring a location is expedited as a result. Ask your franchise development agent if they have a realty department when conducting your franchise research.
Furthermore, while we’re talking about location, there is something very crucial you should know, particularly if your franchise operation needs a good site. You must take the initiative and pay the going rate.
In other words, the cost you’ll pay to rent your space will depend entirely on the situation of the local commercial real estate market. So, unless the math doesn’t add up for your budget, don’t pass up a fantastic location because of the cost. Finding an appropriate site and signing your lease can take between three and six months (or perhaps more).
Make sure to submit your applications for business permits and licences before you start your franchise. Before you can officially open for business, your franchisor generally has a list of paperwork tasks you need to perform.
Plan to meet with an accounting expert who is also knowledgeable about small businesses and/or franchising. They will offer guidance on how to keep track of your sales and expenses, assist you in setting up accounting practices, and determine your tax liabilities. Spend about a month on this aspect of the start-up process.
The fact that you will receive training on every facet of the business you have invested in is one of the appealing aspects of franchising. In certain circumstances, you can take part in parts of the training online, thanks to technology, before you visit the franchise headquarters for a few days of formal instruction. Some of the things you’ll learn include:
When the time comes for you to start accepting customers, you will be fully prepared. Some franchise networks also provide opening support to help new franchisees get their businesses up and running,
Finally, in the days and weeks leading up to your doors opening, there will inevitably be a few unexpected issues that require your attention. They aren’t featured here because their nature tends to be somewhat sporadic.
But if unanticipated problems do occur, contact the corporate office first. Most of the time, other franchisees have had similar experiences, and your support staff may be able to assist you with the unforeseen issues you’re facing right now. It will help you start doing business as soon as possible.
If you want more franchising information, contact the experts at The Franchise Institute. You can call us on 1300 855 435 or fill in this contact form, and one of our experts will contact you as soon as possible to answer all your questions.
