A franchise can be a low-risk way to enter the business world. However, not all franchises are created equal. If you’re looking to buy a franchise, here are four keys you should keep in mind to ensure your success as a franchisee.
Proven Concept
Franchisee success starts with a proven concept. Look for a franchise brand with a clear, well-established business model that is clearly designed for you to follow. A franchise brand with a track record of consistency and franchisees who are able to operate the business according to the established brand standards is a good sign that the concept is proven. Also, look for an Item 19 in the company’s Franchise Disclosure Document. It outlines the financial performance of the system and their willingness to share this information with you is a good indicator of confidence in their concept.
Successful History In Franchising
Next, select a franchise brand with a long history of successful franchisees. Franchise companies that have been in business for many years should have evidence of responsible unit growth, strong franchisee validation, a solid reputation and strong financial performance, all of which can give you confidence in the brand.
Strong Franchisor-Franchisee Relationship
While profitability is certainly essential for a successful business, it’s not enough on its own. A strong franchisor-franchisee relationship built on trust, open communication, and shared commitment is also crucial. Both parties should have a solid understanding of one another’s expectations and responsibilities to help ensure growth. Reach out to the franchisees in the system to see if they validate your assumptions about the company.
Established Franchise Support System
Finally, a franchisor should have a robust franchise support system that covers Pre-launch, grand opening, an extensive training program delivered online, in person and hands-on and ongoing assistance to help franchisees stay competitive. This system should also include to ensure business continuity and long-term success.
At Lightbridge Academy, we’re confident that we can help you achieve your entrepreneurial goals. If you’re ready to join a franchise brand that checks all boxes for success, contact us today to learn more!
