How do I choose the right franchise for me?

Buying a franchise can be an exciting way to start your own business, but it’s not a decision to take lightly. With so many opportunities available, it’s important to think carefully about your goals, skills and the type of opportunity that will suit you best…

How do I decide what kind of franchise to open?

Louise Harris, principal at Franchise Projects, compares choosing a franchise to “choosing a life partner.” She explains: “You need to be interested in the opportunity, excited by it and what it has to offer you.

“The opportunity needs to satisfy the criteria that you set – [this] might be initial investment, financial goals [or] long-term personal goals regarding working in the business.”

She advises conducting an honest audit of your skills, abilities, likes and dislikes. Clarify how much you are prepared to invest, both in time and money.

“Understand the end game, too – do you want to build something to sell, a legacy for your family, or do you simply want to replace an income and walk away when you’re ready to retire?” Harris adds.

Research is key. Attend exhibitions, search online and consult professionals who can help you find the right franchise. Legal considerations are also crucial. “It’s a binding contract and you should know your responsibilities,” says Harris.

How can I choose a franchise that matches my skills?

Dr Hannah MacKechnie, director of Radfield Home Care Franchising, emphasises the importance of self-reflection.

“When beginning to think about what franchise would be right for you, it’s important to spend time reflecting on your own skillset. Think about the things that give you the most satisfaction, both in your work and home life, and what you would like to spend your time doing.

“You need to be honest with yourself and then try to match your values, experience and expectations with a franchisor who you feel can best help you to achieve what you’re looking for.”

Can I own a franchise without selling the product myself?

Many potential franchisees worry about sales. Brian Duckett, former chairman of The Franchising Centre, explains: “There are many franchise opportunities where the franchisee manages a team of people. So if you are a good administrator or motivator, but don’t like selling, you could employ a good salesperson, or salespeople, if the franchisor’s business model allows for that.”

However, he warns that understanding the business fully is non-negotiable: “You would probably [still] have to go through the sales training provided by the franchisor. As the principal of the business, you need to understand everything about it.”

“Every business owner has to sell something. Even if it’s not products and services to end users, you still have to sell yourself to the public, your staff, and your bank manager.”

Is a seasonal franchise a good investment?

Seasonal businesses can work, but you need careful planning. Brian Duckett advises investigating the franchise in question, including asking for actual financial results from the franchisor and their existing franchisees’ operating outlets.

“Then prepare a business plan, paying attention to the cash flow forecasts, as a few months’ income may have to last you all year.”

He notes that seasonal businesses, like seaside amusements or funfairs, can provide flexibility, leaving you to “operate a different seasonal business for the other half of the year.”

Can I run a franchise with a family member?

Louise Harris says working with family can be motivating: “You know each other, the likelihood is that you share similar values, culture and attitudes, and there’s usually additional family support.”

She advises formal agreements to avoid future problems: “[This] will keep things tidy should anything happen down the line.”

Conclusion

Choosing the right franchise involves balancing your skills, interests, investment and lifestyle goals. By reflecting on what you want and understanding the business model, you can find an opportunity that fits both your ambitions and personal strengths.