Why Franchise Your Business?
It is estimated that franchise businesses employ over 8 million people, and these businesses span almost 300 industries. There’s no question about it — business is booming for franchises. These profits don’t come without work, though, which leads some business owners to ask: why franchise? There are certainly many benefits, but deciding to franchise your business is a big step. The good news is that you don’t have to do it on your own. Franchise Genesis is your step-by-step navigator through the franchise process.
Should You Franchise Your Business Model?
If you’re considering growing your business, you must first ask yourself whether your business is a good candidate for franchising. Though it can be a great tool for growth, franchising isn’t the best option for every company. You have to determine whether you should franchise your business.
Some of the questions to consider include:
- Is your business profitable?
- Is your business easy to teach someone else to do?
- Is your business model scalable?
- Is franchising within your budget?
These questions should offer some insight into whether or not franchising is the best next step for your company—and if you aren’t sure of some of the answers, a Franchise Genesis consultant can help you assess your options for large or small businesses.
Advantages of Franchising Your Business
If you answered yes to most or all of the questions above, then there’s a good chance that franchising is right for your business practices — which is great because there are plenty of benefits! Franchising is the best way to grow your brand name, expand your audience, and boost your company’s revenue. That’s in addition to the following three benefits that make a successful franchise.
Speed Up Business Expansion
Do you have big goals for your company? Do you dream of expanding to new markets? Franchising is the quickest way to achieve these goals and make your dreams a reality. When you franchise your business model, you multiply its reach exponentially, growing its revenue and workforce in the process, too. Each franchise owner is invested in your company’s success, so you can expect to see continual success as your business’ reach grows.
Increased Focus on Strategy
When you manage a single store or even a few stores, your focus remains centered on the day-to-day aspects of ensuring success. Franchising your business allows you to shift focus towards a more strategic approach and instead conceptualize the big-picture plans for your business. Rather than worrying about the minutia, let prospective franchisees or new franchisees take over daily operations and start considering your game plan for building your business’s future.
Increased Capital for New Franchisors
The ultimate benefit of the franchise system is its ability to garner your business more capital. With more stores, your business entity has a greater capacity to earn income, and more income enables further growth in the form of new franchises and stores. From ongoing fees as well as an initial franchise fee, income will flow to you as the new franchisor in exchange for ongoing support. Franchise opportunities attract investors who are hands-on in seeing their investments grow. Franchise locations often outperform corporate-owned stores for a reason — the inherent motivation of watching an investment pay off leads many potential franchisees to succeed, and that contributes to your company’s continued success.
Discover New Opportunities Through the Franchise Model
Franchising is an exciting opportunity for any business owner who wants to grow their established brand and reach new goals. It’s exciting, but it isn’t easy. You need franchise attorneys for legal know-how to navigate things like the franchise disclosure document, franchise agreements, and protection of intellectual property. Additionally, you'll need an understanding of interstate commerce if you are expanding to a new location out of state or out of The United States. Luckily, you don’t have to acquire all of this knowledge overnight or on your own. Our franchise consultants can help you franchise your business concept successfully and create a widely recognizable brand.
