Let’s face it, many good opportunities to make money from a franchise have long been seized. But you still want a franchise? What and where are you looking? In my opinion, what’s new, what’s hot, what’s newest and best. Is it a fad, does it have the ability to grow, who is behind it?
First you need to find what interests you. Keep in mind that you will spend more time running your own business than at home. So it better be something you love and something affordable. Don’t risk your life happiness, your home, your family because of the franchise. Don’t roll the dice and risk everything. Be sure to leave a position to return to.
Once you choose a franchise, do your homework. Start with franchisees who have stores for sale. This is done for two reasons, first, you may buy an existing one more cheaply than a new store. Also, you want to know why they are coming out. The number one reason is usually that they fail. They will tell you all the problems with the franchise, some true, some not. The more franchisees you talk to those who sell, the better questions you will have if you decide to turn to this franchise for a new location.
When you finish your fact-finding quest, focus on the main people running this franchise. How long have the CEO, President and CEO been with this company? Was there constant traffic at the top? If it is not a good sign. Has the company moved to different countries more than once? Usually a sign of a problem with that state, it’s also not good.
Support is a big and important issue. What kind of training will you need and for how long? Do you also get help when you open a store? Do they have a good marketing system and direct enough money for the marketing concept? Strong support or lack of it tells you a lot about the company.
Is the growth of new trade stable 10% or not? Every good concept should have positive growth. If everyone sells their stores, that’s also not a good sign.
How about fees? What do these people charge, is it high or low? What are you buying and does it make sense? These are just a few ideas on what to look for in a franchise search. As you can see, don’t make an uninformed decision. Work at home and go into this with a good knowledge base. Good luck