subject: Business Franchise Opportunities - The Good & Bad. [print this page] When examining various business franchise opportunities, you need to know that like any industry, there are good franchises and bad franchises. Not all business franchises are created equal; in fact, some are great opportunities that will enable you to run a business smoothly and effectively with a minimum of hands-on involvement. However, other franchises can leave you charting your own course of action. The key is being able to tell the good from the bad.
Characteristics of a Good Franchise
A successful business franchise should have clear vision and set of values that is shared by all. It should provide its franchisees with systems and strategies for virtually every aspect of a company's operations. It should include the guidance needed for choosing an appropriate location, guidelines for hiring employees, instructions and manuals for training personnel, and a local marketing plan for helping you to secure customers.
For a prospective business owner, the process of buying a franchise involves paying for an existing, successful business model. Because it is pre-defined with the right systems, people and processes already defined, the focus of a franchise business should be operating it, not trying to figure out and establish these items. The best franchises provide you with a company that can theoretically run without you, although, if you're like most aspiring small business owners, you'll want to stay present and engaged.
Characteristics of a Bad Franchise
A bad or unsuccessful franchise business leaves you with the details to figure out on your own, and an ongoing series of brush fires to manage. The types of business franchise opportunities you want to avoid may involve business concepts that do not easily translate and adapt to new markets, or business models that depend on special skills or personality traits that you may or may not possess, such as a knack for networking.
The fact that business franchise opportunities are not created equal makes it especially important for you to research the success rate of franchisees, as well as the company's history. Demand specifics about the type of support and training you will receive. Visit existing franchise locations to observe whether the quality of goods and services is consistent, and whether employees seem effectively trained.
So, when trying to sift through the good and the bad franchises, finding one that not only falls into the "good" column, but is also a good fit for you, take time to understand the details of the franchise and what your investment dollars are actually buying. Make sure you are buying a proven business model and not a concept that has yet to be fully baked and it will help make your business franchise experience profitable and satisfying.
