Franchise business ideas are a dime a dozen. As a franchising advisor, I meet hundreds of entrepreneurs who are eager to introduce me to the next big concept. From out-of-the-box cleaning businesses to quirky dining concepts, the industry certainly isn’t void of creativity. However, franchising is just one of many business growth strategies – and it it’s not the most viable option for everyone. Even if franchising your business does seem to align with your vision for growth, an ill-timed initiative could be just as detrimental.
What are some signs that your business may be ready and able to pursue franchising as a growth strategy?
- Market Potential: Potential franchisors must devote ample time to researching the state of the market. Is there a saturation of concepts just like yours or can you seize opportunities to capture market share? Analyze the competitive landscape and get an idea of what unique niche your concept might occupy. By keeping a pulse on market growth and demand, you can unveil your franchise business idea at the most opportune time.
- Replicable Systems: In Franchise Your Business: The Guide to Employing the Greatest Growth Strategy Ever, franchising expert Mark Siebert recommends that businesses establish at least one successful prototype before franchising. Can you easily replicate your business model and operational standards? Have you designed a means of systematization that you could pass on to others? If rapid growth is the ultimate goal, there must be systems in place to streamline as many aspects as possible.
- Sustainability: Consider whether or not your business has the financial and human resources to support a growth strategy of this magnitude. An honest evaluation of these factors has led many franchisors to re-consider the scope of their efforts. Whereas a nationwide initiative sounds more ambitious, a franchisor with local or regional expansion goals and robust support could very well see more success. Think: quality over quantity.
In today’s business landscape, there’s more than one way to see returns! Take an in-depth look at where your business is and where you’d like it to be, and you’ll be well on your way to choosing the best growth strategy for your one-of-a-kind concept.
With years of industry experience, Mary Tomzack top franchise expert and author has advised hundreds of entrepreneurs on how to best pursue franchising as a growth strategy. We would love to consult with you about how to take your business to the next level. Contact Pure Franchise today at 203-542-0778 or firstname.lastname@example.org.