There are currently around 48,000 franchise businesses in the UK – could yours be another?
It is a question budding entrepreneurs are asking themselves right now. Why? The biggest draw is that franchising is the quickest way to grow a brand.
So, if you have built a successful small business with a unique selling point, there is a lot to gain from expanding it through sales of franchises.
Another reason to consider franchising is that franchisees are not shy when it comes to getting on board. Official statistics show that 33 per cent of them own more than one franchise.
Over the past 25 years, Government data reveals the number of franchises in the UK has doubled. There is a good reason for that. Put simply, franchising makes money.
Is it easy to start a new franchise?
Well, yes and no.
While the process can be complicated, with the right support you can develop a complete franchise concept without having to negotiate multiple professional services.
Mike Monk is an expert with 20 years’ experience in franchising.
He says: “While creating a franchise concept is a complicated and all-consuming process, the rewards — financial, personal, and otherwise — can be enormous.”
For those with no knowledge of what it takes to start a franchise, he explains: “The first step is to create a franchise model and blueprint. This will determine how a franchise moves forward.
“It is important to get some expert advice at the earliest possible stage to ensure the concept has all the right ingredients for success.”
I’ve got a concept, what next?
Before you invest in a customised franchise website, you will need to fully analyse your market place. Doing your research and understanding who your competitors are can give you the edge.
Next, Mike says, you will need to prepare a prospectus for your franchise and a confidentiality agreement. You’ll also require a legal contract and side letter, each drawn up by a franchise solicitor.
There’s more to consider… Your franchise will need an operations manual and, importantly, a franchise business plan.
Mike says financial forecasts are an important part of the plan and should be produced with the help and input of an accountant.
What else will I need to start a franchise?
No franchise will get off the ground without a marketing and recruitment plan. You will also need a prepared franchise presentation and an effective follow up process. If you want to get franchisees on board quickly, this will need to include compelling calls to action and clearly defined benefits. Why should investors want to buy one of your franchises? What makes it unique?
Of course, to ensure quality control and consistency, your model will have to include a franchisee training plan that includes induction training. Think about creating a franchise visit agenda and processes to follow it up.
Last but not least, you will need a franchise model that helps franchisees raise money through various sources.
Is there an easier way to franchise my business?
Yes! Mike owns Advantage Business Mentoring which delivers a complete franchising package.
As well as guiding you through the entire process, Mike’s comprehensive services means you don’t need to use the services of anybody else.
The package is designed so that it doesn’t just save you money, it speeds up the entire process so that you get a much quicker return on your investment.
If you don’t require a full service, Mike can still help. He can advise on specific aspects of setting up your franchise based on an agreed number of days worked along with introductions to accountants, advisors and franchise solicitors.
Still want to franchise your business? Contact Mike on 01273 286133 or email him at mike@advantagebm.co.uk
