Your Business With James Caan 2017 - 92

FRANCHISING

You must prove you've got what it takes
to succeed, financially and intellectually

IS IT RIGHT FOR YOU?

You need to make sure you pick the
right franchise. There are many
examples of business format
franchising, in fields including food,
retail, recruitment, property lettings
and fitness, to name a few. There are
also home-based, mobile and part-time
franchises available, which can work

92

well if you have family commitments.
Do your research and then make a
shortlist of franchise options in the
industries that interest you. These can
be fields you're passionate about, have
previous experience in, or where you've
spotted a gap in the market.
You should also consider the time
and dedication required to run a
successful franchise, and think about
your enthusiasm for the brand and
personal long-term interests.
Once you've decided your chosen
field and the company, don't expect
to just be handed a franchise contract.
You'll need to prove you've got what it
takes to succeed in business, both
financially and intellectually.
Not only will you have to provide the
initial franchise fee, some franchisers
will also insist you have some working
capital set aside before they'll even
consider you. This is because you'll
be responsible for any overheads, as
well as the ongoing franchise costs.
Your chosen franchiser will also want
you to prove that you're committed and
capable of acting as an ambassador for
the brand. Negative reviews about one
franchise can affect the reputation of

JAMES SAYS
"Speak to other
franchisees to find out
what it takes to make it
work and the level of
support you'll receive.
Don't underestimate the
commitment needed"
the entire company. Owners won't want
to risk it if they aren't convinced you're
worthy of working under their name.

WHAT YOU NEED TO KNOW

When choosing a franchise, you need to
know the facts. According to the BFA,
any genuine franchise should have:
■ A business model that has been
proven for a minimum of 12 months.
■ A model that matches the franchise
you're being offered.
■ An official franchise agreement - a
legal contract detailing commitment,
restrictions and termination clauses.
■ A brand that will be protected.
■ The chance to run a business under
agreement, using the franchiser's
brand, system, training and support.
You're a business owner, not an
employee, and any good franchise
will be structured in a way that allows
you to build customer loyalty and
brand awareness in your local area.
■ A transferable franchise, allowing you
to operate in more than one location.
■ A support system in return for a fee.
■ A training programme to ensure you
are fully equipped to run the business.
■ A manual giving details of how you
should run your business to keep it
in line with the company model. □

PHOTOGRAPHY: SHUTTERSTOCK

on the line. And look for evidence to
back up claims, such as professional
awards, that will set your franchise
apart from its competitors.
It's important to be realistic about
your personal expectations and level of
commitment. Running a franchise isn't
a case of signing a contract and waiting
for the money to roll in - it will still take
a lot of hard work. You can also forget
the nine-to-five routine. Expect long
working days, including evenings and
weekends. Underestimating the hours
you need to invest in your franchise will
not do you any favours in the long run.
Above all, don't rush the research
phase. The BFA has a list of accredited
members and professional advisers who
can look over your paperwork before
you commit to signing.



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http://europe.nxtbook.com/emp/Careers/jcspring2018
http://europe.nxtbook.com/emp/Careers/JobsandCareersAutumn2017
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http://europe.nxtbook.com/emp/Careers/Careers/Careers_with_Hayley_Taylor_2011
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