Owning a franchise can have great rewards. Learn tips on how to be successful now and in the future of your franchise.
One of the first steps in learning how to own a franchise is committing yourself to researching all available options. Finding the right franchise can be an extremely personal process, but there are some things to keep in mind while considering your options.
If you have committed to the idea of owning a franchise, you still need to pare down xyour potential investment by industry, concept, startup costs, and various other factors. Here are some handy things to keep in mind, regardless of the market segment:
A strong reputation. Whether a franchise has 10 locations or 10,000, it’s important to align yourself with a brand that is positively regarded both locally and across public opinion. A good reputation can go a long way toward providing built-in customers when you first open your doors.
Solid financial track record. It’s worth researching a franchisor’s history of profitability, whether they’ve managed to maintain financial strength, and where or why they have faltered.
A growing market. Choose a market that is positioned for opportunity and growth for years to come. A hot and happening concept may be great in the short-term, but franchisors with long-term focus and growth potential will provide you with a richer business experience.
Size up the competition. Many franchisors have already done the market research to find the ideal locations for their brand, but it’s equally important for you to do your own research. By getting a sense of similar business concepts that do well in certain areas, which others seem ill-positioned, and what neighborhoods are underserved by certain markets, you can focus on the type of franchise that will work best in your community.
Finding the right franchise can be a very personal process, so make a list of the pros and cons of the business to ensure that you’re looking at it from all angles. Make sure to focus on the kind of business you will enjoy in the long run, whether it’s something you have previous experience with or something you’re excited to learn about. Following your passion is an important part of lasting success.
Once you’ve chosen a franchise that aligns with your goals, it’s time to show these brands what you’ve got. Just as you’ve done your research to determine how to own a franchise that’s right for you, the franchisor will be deciding whether you are a good match for them.
Your prospective franchisor will be interested in knowing why you’ve chosen to invest with their brand, the level of research you’ve done, and what your plans are for running your business. While not all franchisors require previous industry experience, most seek enthusiastic, like-minded partners, so now’s the time to show your passion and commitment. Some of the qualities that make for successful franchisees include:
Strong leadership skills. Successful franchise owners are either born leaders or have developed an aptitude for leadership along the way through personal or professional endeavors. The mark of strong leadership includes decisive management, proactive communication skills, and the ability to both self-motivate and inspire a staff. Strong leadership is evident in all of a successful franchisee’s actions— from handling multiple tasks to delegation to the ability to roll with the punches as you grow your business.
Willingness to learn. Whether you come aboard with years of experience knowing how to own a franchise or are new to the business, you must possess a desire to learn and adapt to a new model. You will need to be able to absorb the training and procedures of your franchisor, so flexibility is key. As you’ve likely already learned through other business endeavors, every circumstance can be viewed as a learning experience and can positively impact your experience in the long run to make your business more successful.
Enthusiasm. A natural drive to inspire others, whether employees or customers, is a huge part of what makes a good franchise owner. A passion for your brand and its products and values will be evident not only to your customers, but to your staff. A willingness to go above and beyond to ensure the success of your business will set you apart.
Writing a business plan doesn’t have to be an overwhelming process. Once you have identified a few key factors and goals, with a little dedication, it basically writes itself. While there is no set length for a business plan, keep in mind that it’s best to keep it concise and engaging while relaying as much information as possible to give potential lenders or investors confidence in your vision.
The Franchise Disclosure Document (FDD) provided by the franchisor will offer you crucial information to help you complete your plan, including the brand’s background, description of the target market, competitive advantages, marketing plans, and a layout of your startup and ongoing costs. Your business plan can be as simple as setting goals and laying out a financial projection for the next few years. When in doubt, ask for help from fellow franchisees, consult a lawyer or accountant, or draw from previous experience.
Once you have secured your business within a franchise system, one of the greatest advantages is the level of insight and support your franchisor will continuously provide to help keep your business running smoothly. However, as the owner, the ultimate success of your business is largely your responsibility. You will be in charge of hiring, management, and day-to-day operations to keep things moving. This is partially an intuitive aspect of how to own a franchise. Trust your instincts, follow the proven franchise system, seek counsel when needed, and lead with confidence. Embrace the freedom of owning your own business within a system of support.
Once your business is up and running, continue learning about your particular industry in addition to what you gathered during your initial research. Markets are constantly changing and growing, so it’s important to stay up to date on technological advances, consumer trends, and economic projections. Network with fellow franchisees to learn more about what is going on beyond your own backyard.
As one of the nation’s first-ever drive-thru coffee franchises, Scooter’s Coffee® has always been ahead of the curve in terms of market advancements, and the brand continues to focus efforts on providing franchisees with pertinent tips and tools to keep business booming.
One of the simplest answers to the question of how to own a franchise is to partner with the best. Scooter’s Coffee is an award-winning industry leader that focuses its business model around four core values: integrity, love, humility, and courage. With over 20 years of franchising experience, Scooter’s Coffee enthusiastically welcomes both new and veteran franchise owners to join the fold.
Offering world-class coffee, flexible franchise models, affordable start-up costs, and unparalleled training and marketing support, Scooter’s Coffee looks forward to helping all of our franchisees succeed.
Request more information about franchising with Scooter’s Coffee today.
