Attributes of the Best Franchises

Every year, around 300 companies start franchising in a variety of different industries, and franchisor success rates are high. A FranNet study found that 92% of franchises were still in business after two years, and 85% after five years, whereas the numbers for independent businesses were 75% and 50% over one- and two-year timeframes.

Franchise Genesis has hundreds of franchisor success stories, and if you’re thinking about transitioning your small business to a franchise, we’d like to speak with you.

We can handle a lot of the foundational needs – legal, franchise management, sales strategies – and it’s helpful if you bring some of key skills to the table. Here are some common attributes of the best franchises… driven by their franchise creators.

Franchise-Specific Attributes

Developing a franchise is like launching an entirely new business. Your role shifts from running the business to helping others run their business, based on the business model you develop. Keys to franchisor success include:

• Understanding the relationship. You need to be clear on your role, and the role of the future investor in your brand, in building the franchisor-franchisee relationship. The goal is for the franchisee to be confident in their ability to meet expectations of the relationship, by trusting that the model you have created will lead them to success.
• Being a partner in support. When trying to attract franchisees, focus on the support and training needed to launch their franchise successfully. However, support has to extend beyond the initial startup phase and be present and meaningful as franchisees become more experienced business owners. 
• Providing a stable foundation. As a new franchise, you are competing with opportunities that have a long history of success, but every franchise had its starting day at one point. You can build confidence with a future franchisee by being transparent about the foundation you are building through an experienced team, the niche in the marketplace, and the value of being part of this new franchise. 
• Being a consistent communicator. Communication is critical to franchisor success and must be consistent throughout the franchise relationship. The more ways you can stay connected to franchisees, and the ease with which franchisees can be connected to you, will only increase the value of your franchise opportunity. 

Franchisor Leadership Attributes

The other aspect of building a franchise is understanding your leadership role with the brand. As the creator, you bring an element to the franchise that no one else can, and that’s essential in drawing people to invest as franchisees. Tony Robbins lists key leadership qualities, and we’ve highlighted a few that can drive success in franchising:

1. A Passion for your vision. You are the person who is bringing this concept to the franchising world, and that vision is a powerful attribute in attracting franchisees. People want to be associated with those who have a passion for what they do; we can work with you on how to convey that passion and vision in your franchise opportunity.
2. Strategic thinking. You’ve arrived at this point in business by being someone who makes thoughtful decisions by evaluating factors that impact the future. That thinking continues when you launch your franchise. Show franchisees how you have arrived at the aspects of your business model that make it a smart investment.
3. Certainty and flexibility. Being able to convey certainty in your decision-making can build confidence, and so can showing flexibility in considering what others contribute. This will be a regular part of life as a franchisor in working with your frontline franchise owners. 

The transition from business owner to franchisor can be an adjustment because it takes you away from the daily operations and focuses your time on bigger-picture thinking. Franchise Genesis can help you prepare for that role by capitalizing on the strengths you already bring to the table.

What We Do at Franchise Genesis

Franchise Genesis works with prospective franchisors to help them turn a small business into a successful franchise. Growing through franchising can be very rewarding, and it can also be very challenging. When you work with us, you have a partner in bringing your vision to reality.

Our franchise process includes:

• Evaluating feasibility
• Establishing legal framework
• Creating the franchise agreement, franchise disclosure document, and other legal documents
• Developing a franchise sales strategy
• Marketing the franchise opportunity
• Training and support

Choosing a franchise consultant is an important decision, and you should build a partnership with a consultant that has a track record of success. Franchise Genesis specializes in helping small businesses grow via franchising.

Let’s Talk About Your Franchisor Success

Do you have a potential franchise in the making? Contact us and let’s see where franchising can take your brand.