Quick Tips To Franchise Your Business
Franchising a Business
When it comes to business expansion, going the franchise route is a common choice among owners. Take a look at businesses such as McDonald’s, 7 Eleven, Marriott International etc, you get the idea.
However, not every company is ready to become a franchise. As a business owner, it is your job to determine whether you should go down this rabbit hole. Here is a guide from franchise accountants that’ll give you all the answers you need about franchising your business. Click here to read and see how What Franchise also thinks that franchising is a reliable way of business expansion.
When should your business become a franchise?
The first step that franchise accountants or an accountant will recommend is to determine whether the company is in a position to become a franchise. As it is a huge investment, you want to make sure that you are doing the right thing.
Look at your business and ask yourself whether it has what it takes. Is it easy to duplicate your business model, and can you teach your franchisees about what you do as an organization? Ask yourself the same regarding your products and services.
Key assets you require before becoming a franchise
From a business advisor’s perspective, it is important to know whether you have adequate resources to withstand this transition. As it will definitely take some time before things stabilize, your current company should be able to function without any difficulties.
At the same time, you need to be flexible, since you have to focus on both your existing business as well as on expanding operations. A huge portion of your effort goes into preparing for the franchising route, which is equivalent to starting a new business.
While it takes a huge chunk of your resources, you need to possess other skills to ride smoothly along this phase. Franchise Accountants recommend great communication skills along with patience. A franchise is taxing on both your physical and mental health, and you and your business should be ready to handle the stress.
You may come across unexpected hurdles, which makes the whole process challenging. In these moments, it is vital to remain calm and composed.
Steps to franchise your business
Step 1
Now that your business is ready to become a franchise, you need to start looking at the legal requirements. It is a completely new game when you operate your company in this manner due to separate rules and regulations. Depending on where you want to operate, you need to understand these laws. Speaking to regulated franchise authority such as British Franchise Association or Franchise Consultants can help you set your direction and start setting up a foundation.
Step 2
The second step is to make important decisions regarding the franchise. For example, the terms and conditions of the agreement, the royalty percentage and fee, and size of territory to name a few are some factors that you should write down.
Step 3
Once you have an idea of how to proceed, you have to register your business as a franchisor. Accountants will mostly suggest that you hire additional employees to help you with the whole process. Now that everything is in order, you can start selling franchises to interested parties.
3 Key tips for franchising your business
To ensure your business becomes a successful franchise, you need to implement the following tips:
- The organization is key, because of the sheer volume of changes taking place simultaneously. Everything from creating the terms and conditions to staff training must be smooth.
- It is imperative that you select the right location so that your franchise doesn’t launch off to a bad beginning. You can start at places that are close to the original establishment before expanding further.
- Always do your homework. This allows you to be in the right place at the right time. With adequate competence, you will be able to make informed decisions, transforming your franchise into a successful venture.
With this knowledge of franchising a business, you must now take action immediately. Getting franchise accountants in London and business advisors is a good decision, they can help you immensely. Implement the instructions in this guide so that your company expands into a successful chain, just like all the top franchises in the world!
Clear House Accountants are specialist Accountants, Growth Specialists and Business Consultants. We are long standing Accountants in London who equip all their clients with the tools to grow and the solutions to save money. Our smart solutions and sound business advice will always keep you one step ahead of the competition.
You might want to read:
How to Start Business in the UK
10 Reasons why Financial Management is vital for Business Success
