Owning and running a franchise business is all about transferrable skills, and that is evident from the diverse range of businesses that operate as a management franchise.
Owning and running a franchise business is all about transferrable skills, and that is evident from the diverse range of businesses that operate as a management franchise. This can be applied across all sectors, including restaurants, where individuals are recruited to manage and operate the site while the person at the top ensures the smooth running of the organisation.
With over 25 years’ experience as a restaurant entrepreneur, Sanjeev Sanghera, Döner Shack’s Co-Founder and Managing Director, offers his advice on the skills required to run a management restaurant franchise.
When choosing a franchise to invest in, it is imperative that you evaluate whether your skills and interests match those required to manage the franchise brand. Prospects also need to look at the franchisor’s operating system behind the brand to ensure it is robust and scalable, otherwise they might struggle to grow at the rate they want and control the business. When you buy a franchise, you are not just buying a brand but an operating system that goes with it.
“There is no set path to becoming a management franchisee, but an aptitude for client handling, listening, strategic planning, business analysis and team building are all key for success. As a franchisor, we search for individuals with good communication skills, self-motivation, plus a track record of staff management skills and the ability to self-manage. But most importantly, we look for the right attitude as this fosters a mindset and workplace culture that fuels greater success and achievement. A lack of skills or experience can usually be overcome by training and support, but trying to change a franchisee’s attitude can be extremely hard.”
The people that excel in franchising are usually successful leaders. You will either need experience in leading people or have the necessary leadership skills, such as communication and empathy, to lead and motivate the people in your franchise. Strong leadership skills and the ability to nurture a team-oriented environment can help reduce one of the biggest problems restaurants face - high turnover.
Clear communication is a big part of being an effective leader and is especially important in restaurants, where the pace is quick and stress levels can run high. If you are able to communicate concisely to your staff operating the restaurant, this will help them run the business smoothly and more efficiently.
Project management skills are critical in restaurant franchising and are necessary if you are to successfully run a project from start to finish – from choosing a new site to organising a fit-out and then a grand opening. You will also need to be proficient in managing budgets so you can set your financial goals and targets, as well as scrutinise how you are operating and what systems or changes you need to put into place to increase your bottom line.
When it comes to a management franchise, experience in the industry or service you opt to invest in is not necessarily a prerequisite for success. Therefore, recruiting the right team of people to deliver your service or produce your product is crucial. Seeking out talented candidates who are a good fit for the restaurant’s clientele, concept and team is crucial.
One of the key attributes of a management model franchise is the opportunity for large-scale growth. But, when taking into consideration the additional resources this requires, you will need to invest time into constantly reviewing and revisiting your growth strategy.
Ability to follow a system
One of the most important factors of operating a management franchise is to be willing to follow the franchise model and maintain the brand identity. You must be willing to learn and follow the franchisor's business plan to successfully duplicate the proven process. Being business-savvy includes having a willingness to learn, so if you are someone who thinks they already know it all, then a franchise will not work for you.