Tag: franchising my business

Franchise consultants help expand and promote the success of your business. This means that a consultant’s role takes a number of forms depending on the state of the business. In general, a franchise consultant aids in the development and growth of a franchise system while being your guide.  

The main role of a franchise consultant is to help you navigate the world of franchising. With all the rules and regulations, franchising can be a confusing and daunting process. Not to mention, if done incorrectly, a business can face legal issues. Think of a franchise consultant almost as your sherpa, guiding your business down the right path.

What is the role of a Franchise Consultant?

Firstly, a franchise consultant develops the franchise business model.  This is a reflection of your current business yet documented so it can be duplicated by a franchisee.  This includes developing Operation Manuals, Franchisee Training and Support, and on-the-job training for employees.

Secondly, franchise consultants work to ensure that you are protected legally and comply with federal and state regulations.  Often times, this entails working with attorneys to register your trademark and ensure your Franchise Disclosure Document (FDD) meet the FTC standards.   FDDs are given to potential franchisees to help educate them about your franchise program and includes all the necessary legal documents and financial statements along with a detailed report of your business’ operations and procedures.

Lastly, a franchise consultant should not “take over” or try to drastically change your business. Rather, a franchise consultant works to develop a franchisable model that is attractive to potential franchisees while still keeping the integrity and core values of your company.

Now, that you know the value of a “franchise consultant,”  how do you determine if you need one? Well, first you need to assess whether or not franchising is right for you.  Here are some questions to ask yourself.

  • Is my business unique?
  • Is my business financially successful?
  • Can my business be duplicated in any market?
  • Am I ready to take on a new role; the franchisee trainer and coach?

If you would like a more in-depth article about whether or not franchising is right for you, then click here.

For more information regarding franchising your business, sign up for our no obligation, 30-minute strategy session. 

Costs in Franchising

Understanding the costs in franchising is an important step in evaluating the right path when selecting a franchise development team.  There are many phases when it comes to franchise development and no two companies are the same.  Some offer only the necessary legal documents and others provide full-service from development to sales.  To truly compare franchise development companies, you must insist on a detailed proposal from each firm, so you know exactly what you are getting for your dollars.

You also need to take into account the type of business you own.  Full-service, sit down restaurants are the most expensive businesses to franchise.  There are a lot of moving parts and costs involved with restaurants; inventory, recipes, point-of-sales systems, kitchen equipment, cleaning procedures, back-of-house and front-of-house policies, etc.  If you are in the service industry where a potential franchisee can work from home, then the cost to franchise this business is much less.  When looking at pricing a franchise system, we take into account the all the moving parts and costs involved with your business.

Prior to even talking about the price though, we make sure your business is franchisable.  Not every business model can be franchised.  We have a vested interest in your success and we want to see your model succeed.  We take the time to learn about your business and get to know you, too.

Our goal is to build complete, responsible franchise systems that become enduring brands where all parties benefit; you, your franchisees, your vendors and most importantly your customers.

You may have intentionally created the culture of your brand or it may have evolved as you progressed.  Whatever the case, the culture of your brand needs to be solidified.  What are your values? What do you stand for?  What do you stand against?  What is the experience that you want ever customer to walk away with?  What is your Brand's mission?

By aligning franchisees and employees to your brand's mission, core values, vision and unique positioning in the market place, your customers will receive the consistent brand experience whether they are in Knoxville, TN or Reno, Nevada.

As John likes to say, "We are in the Cult business.  We create raving fans of your brand whether they are franchisees or customers."

Clearly defining your Brand Culture is an important factor to becoming a successful franchisor.