Are you considering owning your own franchise location? If so, most people wonder where to begin and how the process works.
Unfortunately, it’s not as simple as choosing a franchise you have been dreaming of owning, writing a check, and then opening. It is a lengthy process that requires a lot of research, thought, and time.
As lengthy as the process is, I’m here to assure you that the process is well worth it. There are so many advantages of owning a franchise, that you won’t even think twice about buying a second franchise when the time comes.
Wondering what to expect? Here are the 5 general steps to owning a franchise:
Step 1: Self-Discovery
Everyone has a dream or idea for what they think life will have for them, and for most of you reading this article, part of the dream includes owning your own business or businesses. That’s awesome, but it’s at this point that it’s really important to spend some time early in your entrepreneurial life thinking about the details of what owning a business means to you and what you want out of the experience.
Why?: Well, doing this soul searching before reaching out to me as your franchise consultant means you’ll be better prepared to answer questions that help me find the perfect franchise for you specifically. So, definitely think about the lifestyle you want to live and your goals for business ownership as your first step in the journey to franchise ownership.
Step 2: Contact Me and Begin The Research Process
Some people dream of owning a particular franchise. If you have a franchise in mind, that’s great- you are off to a great start!
However; many people don’t understand that there are thousands of franchise opportunities to choose from. You might have one franchise in mind, but you might also find 3 more that you love and fit better with your lifestyle. Keep an open mind and as we go through the research process. You’ll likely find a great opportunity that feels custom made just for you and the life you want to live.
The second aspect of this step is called due diligence, and it’s where (once we find a franchise you love) we contact the franchise and you both begin to court each other, as it were. Meaning, they’ll make sure you’re a good fit for their brand and will be successful in the role of owner to one of their locations, and we investigate the franchise opportunity and their success plan to ensure you have as best a shot at success as possible.
Also at this stage, you may have the opportunity to interview other franchise owners, as well as learning about the franchise’s; sales, marketing, and business operation frameworks. This is also the timeframe that you’ll consolidate your capital and be given your Franchise Disclosure Document (FDD) for review.
Lastly, it’s during this phase that the franchise may host a Discovery Day or Team Day where we’d go to their corporate HQ, meet the team in person, and participate in some educational seminars or team building activities.
Step 3: Decision Day – Documentation Completion
Once you found the right franchise and have been accepted for consideration, you will receive what’s called a Franchise Disclosure Document (FDD.)
This document was put in place by the Federal Trade Commission (FTC) and helps you to understand the franchise model, fees, and commitments all in one franchise agreement. Essentially, this document defines your relationship with the franchisor.
Step 4: Training and Support
If you like what you see in the FDD, its time to move on to training. Perhaps the greatest thing about owning a franchise is that you receive training and always have a team of support if needed.
During training, you can expect to learn about the operations of the franchise, how the franchise does its marketing, and other training tasks.
The goal of this training is to get you to a point where you are comfortable enough to open your franchise location and operate it on your own. This training is designed to make you successful with this business, so don’t hesitate to ask any questions.
Step 5: Beginning The Real Work!
Congratulations, you own a franchise! Now the real work begins.
It’s at this point, your situation really depends on the state and the franchise, but in many situations, it’s at this stage that the franchise’s real estate team begins helping you find a location. The franchise also may begin building out and ordering the equipment you’ll need to get started, and the rest of your corporate partners begin helping you set up shop. In slightly more rare occasions, you may have a location already, but most franchisors will want you to close the deal before spending money and resources on you.
All that to say this, along the entire journey, I’ll be there to help you and guide you towards success. Buying a franchise is a complex, and many times confusing path, which is why having a franchise coach/consultant like myself can mean the difference between you being happy with your decision in a year or having regrets.
Blackmore franchise consulting: Guiding you every step of the way
The franchise industry can be intimidating, especially for those who have never owned a business before. However, with the right support, the process can be smooth and quick! At Blackmore Franchise Consulting, I’m here for you every step of the way. I’ll help you find the best franchise for you, and will help you throughout the process!
Ready to get started? Contact me today!