From choosing the right location to establishing demand in the area, laying the foundations for a successful business takes some work. But what about if some of the research was already done for you? And what if throughout your business venture you had a supportive team whose knowledge and expertise you could draw from? That’s why becoming a franchisee is such an appealing prospect.
Pointed in the right direction
A decent franchisor will only offer you a territory if there’s demand for the service in the area, taking into account the population and target audience. As an aspiring franchisee, there’s no need to do market research to establish whether the business is viable. You might have chance to buy a start-up territory where you would introduce the business to the area, or a resale, which involves buying an already-established franchise and inheriting a workforce and customer base. Either way, the franchisor has established scope for a successful business in the area.
Getting funding
Funding is of course a key consideration. Fortunately, being a franchisee makes you a more attractive applicant for a loan, due to the high success rates of franchises.
A franchisor should give you advice on where to turn for funding. Take Home Instead, which works with several banks who are experienced in working with franchisees. At regular ‘Discovery Days’ hosted by Home Instead, aspiring franchisees have the chance to learn more about what is on offer to them and how to go about getting a loan to finance a franchise.
Supported by a team
Establishing a start-up business on your own can be isolating. It can be a bit unnerving knowing that decisions you make are largely based on your lack of experience and expertise. Franchisees needn’t have that concern since they’re part of a franchise network which is supported by a team of experts in all aspects of the franchise.
Take Home Instead, whose national office team provides guidance on a range of areas that make up a successful care company, from compliance to marketing. Home Instead franchisees begin their journey with a new owner induction, standing them in great stead to run the business well. The support doesn’t stop there; franchisees are supported throughout every stage of their business venture. The support includes an annual conference, where everyone across the franchise network is brought together to learn how the business is innovating and what part they should play.
Being a franchisee also means receiving peer-to-peer support. You’ll have the chance to be part of a community of people with lived experience of running a business like yours. Whatever challenges you face, other franchisees will have encountered the same. There’s nobody better to turn to for advice.
Local business with a well-known name
As a franchisee, you’ve got the best of both worlds. You can reap the benefits of a well-known (and often, global) brand, whilst becoming a trusted local business owner in the community.
The brand has already earnt a positive reputation. You’re already a few steps ahead, as people in the area can already appreciate what you do, particularly if the brand invests in national advertising and has become a household name.
Being a franchise means taking this well-known name to a local level. You can engage with the community, take part in local events, and work alongside organisations and other businesses in the area you live. People enjoy buying local, and that’s how you can present your business: a friendly team that knows the area well.
A tried and tested formula
An established franchise has over the years trialled and tested what works and what doesn’t, which means that you as a franchisee don’t need to. The products and services that you offer have already been proved as popular amongst the market you’re targeting, based on nationwide data. The business is already set for success.
The sector you’re in will undoubtedly change, and the job of the franchisor is to adapt accordingly by altering the products and services. You’ll be able to use this to innovate your business and keep up with the demands of your target market.
Being a franchisee means having access to resources to support you with business operations. From marketing materials, to finance systems, to HR support, the franchisor assists you with the different areas that make up a successful business. If you go into business alone, it’s up to you to find the right suppliers and develop these processes yourself.
Take the franchise route!
They say ‘no man is an island’, and that’s certainly the case with business ownership. Being a franchisee means being part of a supportive network and having the backing of a national brand. It could be your route to becoming a successful business owner.
This article comes courtesy of Home Instead, the UK’s largest home care company.
