Adopting a systemic approach to buying a franchise will increase your chances of success in the long term
Franchising offers a wealth of investment opportunities across many sectors, with support and training that will help you build your own business. But there are some key things to consider before you take the plunge:
What work-life balance is right for you?
There are franchises of all types. Some require you to be on the road most days servicing clients, while others need you to be office based and build a team to deliver the services.
Some offer part-time working solutions or full-time portfolio building opportunities that could lead to you running multiple businesses longer term.
Whatever you’re looking for, weigh up what you’re prepared to commit to and whether the return on investment is viable.
Research the industry
With so many business opportunities to choose from, it’s important to get a good understanding of the industry before committing.
Where should you start? Speak to us! The British Franchise Association has been shaping and promoting the industry since 1977. See what’s on offer and view the current accredited franchises in the UK at thebfa.org.
Assess the opportunity
Speak to the franchisor.
Do you feel you can do business with the organisation?
Speak to franchisees.
Are they happy having already made the commitment you’re looking to make?
Understand your obligations.
You’ll be required to sign a contract. Before you do, get it reviewed by a franchise lawyer.
Know the investment requirements,
so you can ensure you have appropriate funding, not just for your initial investment, but also the capital required to sustain your lifestyle and business in the early stages.
Find out if the franchise is a member of the British Franchise Association.
Companies applying for membership are making a commitment to franchise ethically. They undergo an accreditation that involves the bfa stress testing their franchise model to ensure it’s proven and viable.
Ask the franchisor questions
Ask about the nature of the business and the costs involved. Get the lowdown on the franchisor’s systems of operation and what training is on offer. It’s also worth finding out about how you fit in the overall franchise network and what methods of communication are used.
Franchising has provided great opportunities for many people and with the industry being so diverse there’s no reason not to find something you love.
Pip Wilkins is CEO of the British Franchise Association.