So you are thinking of starting up your own business. As a smart and savvy investor you’ve decided that the benefits of franchise ownership most likely best suite your specific needs and mesh with your own business goals. So what do you do know? How do you get started in selecting the franchise that is right for you?
There is a lot of research that goes into selecting, planning for, and operating a franchise. From the moment you decide that you might like to invest in a franchise all the way through the very act of ultimately running your franchise, it pays to be as informed as possible. Therefore it is crucial to start out on the right foot by digging in deep from the very start in the initial stage of selecting your franchising organization. So where do you look for information?
Franchising Publications
There are a number of printed publications dedicated to franchising, and most financial publications offer insight into franchising (some even compiling franchising statistics and data in specific issues). However, such publications are not always readily available. If you are on the hunt for good information, but would like to save yourself a trip to the newsstand or public library, there is a wealth of information online.
A simple internet search for “how to find a franchise” or “choosing a franchise” will turn up a vast storehouse of information. This is an excellent place to start if you aren’t quite sure what sort of franchise you might be interested in running. It is beneficial to peruse as many sites as possible, paying specific attention to such information as average ROI, start-up costs, total investment costs and franchise fees. This information can help you determine what franchises are best suited for your individual financial situation and needs.
Franchise Expos
Another excellent source of information, when searching out prospective franchises, are local franchise expos. Expos will not expose you to the full range of possible franchises for your area in the same way that online research can. However, there are some definite benefits to attending these expos.
Franchise expos give you the advantage of being able to have face-to-face discussions with franchisors who are actively seeking franchisees in your area. This gives you an opportunity to ask your questions now so that you can decide if the franchising organization is worth pursuing further. Such expos also give you the opportunity to go ahead and get your hands on the Franchise Disclosure Document for any given franchisor. This is a crucially important document – one you’ll be wanting eventually, anyway – and the sooner you get it, the better off you will be.
What to Look For
Again, what you want to concern yourself with initially is collecting data on expected ROI, initial costs, long-term costs and franchising fees. This will help you decide what franchises work best with your financial situation and what you are hoping to invest versus what you hope to get back. You also want to look into franchises that will utilize knowledge and work experience that you already have. Being diligent in your research from the start and forming a clear concept of what you want will go a long way toward ensuring the success of your business.