If you strive to exploit the potential of franchising and you have sufficient time, necessary skills and available funds for starting a franchisor’s business, then it makes sense to start actually building a franchisor’s business. So, how do you do that?
Let us present you the conceptual framework of “Seven steps for creating a sound franchisor’s business”, created by ADVANCED ADVICE.
As you can tell from the name of the framework, there are seven interconnected steps, which each franchisor must take to create a viable franchisor’s business with a high potential for international expansion:
- Business franchisability analysis. For more information click here >>>>
- Franchisor’s business planning. For more information click here >>>>
- Development of franchise tools. For more information click here >>>>
- Development of franchise infrastructure. For more information click here >>>>
- Development of franchise legal tools. For more information click here >>>>
- Preparation for franchise marketing. For more information click here >>>>
- Preparation for franchisee recruitment. For more information click here >>>>
You should bear in mind that the complexity of implementation of each step depends greatly on your business situation and plans. For example, if you want to create a franchisor’s business on a foundation of a very small, yet successful, business and expand it firstly in your home market, then it might be wise to keep it lean and not to go into too much details during the creation of the franchisor’s business. However, you must remember to constantly upgrade and improve your franchisor’s business and its tools, as your franchise network grows bigger and poses more challenges and demands for you as a franchisor. On the other hand, if you represent a large business and strive to expand internationally instantly after launching your franchisor’s business, then you might want to invest more time and money into creating professional franchise system from scratch, which would be competitive among other well-established franchises in the same business field. Anyway, despite of depth and complexity of approach, all seven steps are necessary for building a franchisor’s business that would last and achieve success. So, let us explore this process systematically. To read more about the first step of creating a sound franchisor’s business - “Franchisability analysis” - click here >>>>.