Everybody starts somewhere. Some of the world’s most beloved brands and franchises started as small companies run by just one or two people. Even McDonald’s was once just a single burger joint thought up by someone who thought it would be a good idea to provide cheap, convenient hamburgers to the public.
What does this mean for you? If you are a business owner that is experiencing success as a singular business and you want to turn that success into a franchise, it is possible. And if you have just started franchising and you want to grow into a bigger, more successful franchise, that is possible too. Here’s what you need to know!
When to Know You are Ready
One of the first questions potential franchisors ask is “when do I know my business is ready to be franchised?” Many experts believe it takes at least three years of stability in a business to transition to a franchise. Others believe if something is really hot at the moment, any time is a good time to franchise. As long as you are able to find investors, you can consider it a good time to franchise.
Duplicating Your Business Concept
Is franchising even an option for your business plan? Can you duplicate what you are doing and do it elsewhere? Those who want to invest in a franchise are looking for something simple they can duplicate and turn into a successful business. It is also a good idea to consider whether or not your concept is easily adapted to different locations, either domestically or internationally.
Will It Be a Money Maker?
Obviously, the bottom line when it comes to successful franchising is just that: the bottom line! Can your franchise make money? Do you currently have a consistent record of financial success in your business? You must be able to ensure investors your concept and system will bring profits before you transition to a franchise.
Want to explore the idea of franchising more in-depth? Give us a call!