🕒 Estimated reading time: 3 min.
If you are interested in becoming your own boss with the support of an established and successful business model, owning a franchise would be ideal for you. There are a wide range of opportunities in the franchise industry so undertaking some key research is key to finding your ideal investment opportunity.
If you’re serious about buying a franchise, you’ve probably started doing research, gathered facts and figures, and given thought to your investment. That also means it’s likely you’ve accumulated a lot of papers with scribbled numbers and notes or files on your desktop full of links and figures. Maybe by now you’ve even got the ‘Perfect Franchise List’, detailing everything you want out of your new business opportunity.
Purchasing a franchise is a big step and can get complicated quickly, if you let it. Rather than cause all sorts of stress, clean out your business research and tidy up your list with these tips. (And if you haven’t started, avoid the headache entirely by sticking to these!)
What industry do you want to be in?
It’s likely you’ve perused information on an eclectic group of franchises, thinking ‘What if?’ or ‘Maybe this would be fun..’ Go through everything again a bit more critically. Do you really want to run a management franchise? Or would you be more happy with a hands-on role? Do you want to work with children or would you prefer a more professional setting? Don’t compromise here; there are franchise opportunities for every industry, so hold out for the perfect one. A business you love will make you happier and likely more successful, so cross out any franchise that doesn’t excite you.
Now that you know the industry you want to join, how much do you want to invest?
Finding funding for your franchise is a vital step. Think about your savings and how much of that you are comfortable using to start your business. Are you willing to take out a loan? Would you prefer funding secured by the franchisor or through a third party? Check if each franchise opportunity offers funding. If you’d be more comfortable using only your own funds, see which of your industries has low-investment franchises available.
You’ve narrowed your list by industry and price, now what about location?
Do you want to stay near to home to work? Or are you looking for the chance to move somewhere new and establish your business? It’s important to pay attention to the regions each franchise has available. If there are territories available only throughout England but you’re living in Scotland, that’s an issue. If there’s no demand for the franchise’s service or product in your region, that’s an issue as well. Do your own market research for your area, but also speak to the franchisors about the area, if you think it would help.
Do you want to work alone, or in a partnership?
Starting your own franchise means you’re the boss, but do you want to be in charge of an operation or run everything yourself? If you’d like to handle everything yourself, at least to start, you could consider van-based franchises or vending machine franchises that don’t require a lot of manpower. Many people open franchises with friends or family members — children, parents, siblings, spouses, etc. This can be a wonderful opportunity to enjoy your work and get to spend more time with a loved one, but be sure the terms of agreement are clearly defined and discussed.
After all that, take another look at your list. It’s a bit neater, isn’t it? Now take your cleaned up list and find the perfect franchises that ticks off everything! Lucky for you, we know exactly where you can start the search!