What is Franchising?
According to Collins Dictionary, a Franchise ‘is an authority that is given by an organisation to someone, allowing them to sell its goods or services or to take part in an activity which the organisation controls.’
In the three years I’ve worked within franchising, my simplified interpretation is that ‘it’s a fantastic way to start your own business with a proven business model, established brand, a solid work life balance, healthy return, an abundance of help and support from people who want you to succeed and an entire network of likeminded individuals that you’ll likely develop friendships with for the next 20+ years.’
Franchising isn’t for everyone, however starting a business from scratch or going it alone in the current climate is a daunting task and can often be isolating, therefore franchising is becoming a far more appealing prospect for entrepreneurial individuals with the desire to operate and run their own business, who are looking for that extra bit of stability and security to get them started.
With an abundance of brands and sectors emerging all the time within franchising, along with a hugely talented pool of individuals, the possibilities are endless.
Why Franchise?
There are many aspects to consider when starting your own business regardless of which route you choose, however a commonly asked question in the franchise recruitment process is ‘why should I franchise, what are the benefits?’
From my observations, there are an abundance of benefits and all franchisor’s will offer these to varying degrees. As a franchisor, it’s their responsibility to make you aware of these benefits with an ethical and open stance and as an individual, it’s your responsibility to do your due diligence and consider which aspects are most valued by you.
Brand – An established brand and solid business reputation takes an enormous amount of hard work and years of trading along with excellent customer service and quality products or service.
Support – Along with a Franchise Support Centre who are there solely to support you throughout your career and help you in the road to success, the entire brand network are also there to support you each step of the way.
Training – A franchisor has obligations, both legally and morally, to ensure franchisees are trained to the best of their abilities and ensure they are set up for success. An extensive training course will be part of your onboarding process, along with a handover period from the exiting franchisee.
Proven Business Model – An established franchise will offer a proven business model which has been tried and tested for many years across their network.
National Coverage – A franchise with an established, wide-reaching network can allow you to collaborate and work within your network to deliver jobs nationally, to a larger scale and with a consistent and seamless approach.
Expansion Opportunities – Widening your reach and expanding an independent business can take time, lots of research, a huge amount of marketing and can be financially tough. Operating as part of a franchise with expansion opportunities already in place can help you grow your business at a faster pace.
Supplier Discounts – Taking advantage of economies of scale can open up a world of exclusive supplier discounts which you will not be able to access as an independent business owner.
Networking – Networking is essential when owning your own business, both in terms of generating business, but also for support, guidance, best practice and keeping up-to-date with all the latest developments in your industry – something that comes in abundance within franchising!
How does it work and what should I consider?
Before you enter the research phase and make your first enquiry, it’s essential to think about you. Think about your ambitions, your areas of interest, your financial situation and your financial aspirations. Think about location, attitude to risk, timescales, how much creative freedom you desire, consider industries that are built to last, plus think about what you want to earn vs what you need to earn, along work life balance. Lastly, can you go it alone or would you benefit from the support of a franchise?
Next step is research which is a critical part of the process. Franchisors should be very open, so make lots of enquiries, ask lots of questions, understand not just the franchisor costs, but any other costs associated with the sale of a business, do plenty of desk-based research, go to franchise shows, meet like-minded individuals, speak with existing franchisees, find out what’s right for you.
It’s important to understand that whilst you’re essentially the ‘customer’ in this situation, every franchisor will have their own recruitment process and steps they need to follow. Whilst this may seem frustrating, please trust that each step is there for a reason and the franchisor has the ethical obligation and duty of care, to ensure that they are right for you and likewise, you them.
Whilst as an individual you are considering investing a lot of time, money and personal effort, the franchisor also takes a (measured) gamble on an individual each time a new franchisee joins the network, with their brand, reputation (and income stream) on the line.
Franchising offers a kickstart, it offers an established brand and an abundance of support. It offers you the autonomy of running your own business, the benefits of being your own boss and benefiting directly from your own financial rewards, all with full support and guidance from an entire community, plus a franchise support centre there to guide you throughout.
It’s not by any means an easy route, but it is a proven one. Overall, the success of your business is down to you as an individual. If you’ve got the drive, ambition and desire to run your own business (with a bit of a helping hand), franchising may be the right route for you!
This article comes courtesy of Emma Wakefield, Head of Franchise Recruitment at Signs Express Limited (Start Your Franchise Journey – Signs Express Franchise), the UK’s largest signs and graphics franchise business with over 35 years’ industry experience and 60+ locations throughout the UK and Ireland.
