Whether or not to franchise isn't an easy decision. You'll need to consider the business issues and weigh the pros and cons from an informed perspective.
Franchising as a rapid expansion tactic is one of several options you should consider for it's tremendous potential to grow your business quickly.
How does franchising work? The key is in the creation of systems which can be duplicated through training and support. Other characteristics attractive to potential franchisees include businesses:
- with a good track record of profitability.
- built around a unique or unusual concept.
- with broad geographic appeal.
- which are relatively easy to operate.
- which are relatively inexpensive to operate.
- which are easily duplicated.
A good place to start is our overview of franchising. You may also access comprehensive information on how to franchise. Despite the impressive merits, franchising is not for every business. There is high risk in franchising any new, unproven business.
Established companies that should probably not franchise include businesses:
- difficult to monitor from long distances.
- requiring large numbers of employees.
- with complex operations.
- with low profit margins.
And being franchisable doesn't guarantee your success. Franchising the right way will help you to avoid a number of costly mistakes.
How to tell if your small business (or large business) is a prime franchise candidate.
You can quickly assess whether you are ready to franchise by taking our basic online quiz. Or, you can download our comprehensive worksheet and determine your company's franchisability for yourself at your convenience.
If you're ready to franchise, our checklist will guide you through the process.
If you're still not sure, a Francorp Franchise Analyst will discuss with you the franchisability of your business. Other frequently asked questions about how to franchise your business:
- How much time should you reasonably expect to spend in order to successfully build your franchise?
- How much should you expect to pay to build a successful franchise?
- What other resources are available to educate yourself about franchising?
- Why Francorp? Our track record is solid. We've consulted with and provided franchising information to over 10,000 companies.
- We've helped more than 2,000 companies to successfully franchise their businesses.