PLANNING PROPERLY FOR A FRANCHISE
Planning properly is a key essential when it comes to growing a successful franchise. Are you aware the planning that goes into beginning a franchise? Many think that because they are purchasing a brand, that a lot of planning may be eliminated. While this might be true, there is a lot of planning the new franchise owner must achieve. Who are you going to hire, how are you going to pay them? Will you expand? What location will you chose? Will you trust everything the consultants tell you? What if someone quits? Are you able to be a franchise owner? Erik has excellent insight in explaining where taking a risk in the planning process is necessary and what acts to take when obstacles come your way.
PLANNING ON EMPLOYEES
Hiring the right employees is extremely important. Taking a risk and overpaying the right employees will factor in how well your franchise will run. It may sound scary, overpaying someone with a business that is not up and running yet. However, it is important to have these key players on your team. Trusting and allowing your employees to make decisions will affect their happiness, performance and longevity of the business. It is important to know when to be hands-off.
PLANNING ON EXPANSION
Surprisingly, the first franchise is probably the hardest of them all to open. Aside from being new to opening this form of business, there is a lot of stress and pressure to get things done in a certain way. By the second franchise, it may be a little easier. Mainly because there is some experience gained. What many do not plan for with the second, is the decrease in revenue that they may have not experienced with the first franchise. How are you going to deal with the revenue decrease? Will you be able to place your employees where they need to be, will you be able to keep two locations a float while having a decrease in revenue? The third location is known to be the easiest. Now there is more experience, more trained employees, more available opportunities for worthy employees and hopefully a steady revenue from now two successful locations. If opening one is so hard, and opening a second comes with a decrease in revenue, why expand? Once overcoming these obstacles, owning three franchises will actually allow access to more freedom and success. Keep in mind, with more locations available, there are more opportunities on the table for the key employees. This tends to keep employees happy and motivated. Erik helps us to better understand the ups and downs that come with owning multiple franchises.
PLANNING AND WORKING WITH CONSULTANTS
Just about anyone can be a consultant in the franchise world. It is easy for to trust and listen to everything a consultant may have to share, because after all, it is their job. Sometimes, consultants can be more of salespeople. It is important to plana and have other experienced and insightful people lined up to seek advice from. There are consultants out there that want to push franchises on people without the proper guidance, because they think for some reason, that will make their chain more successful. To me, this is a quick fix for success, but not a sustainable one. There are people out there that are incredible consultants and guiders. Be aware who is doing the guiding and if they are relaying accurate information. Also, know that there are other sources out there and do not feel pressured to rely on one, that may not be fully reliable.
PLANNING HOW YOU WILL BE WITH THE COMPANY AND EMPLOYEES
A franchise owner must be aware that the responsibility lays in the hands of the owner. Although, this process might be a semi absentee process, the responsibility will still be on the franchise owner. You are responsible from everything from your employees, to your customers. Aside from being able to be held responsible, other characteristics are necessary. Are you a good delegator? Finding out how to be a good delegator and choosing delegating managers all factor in the continuous growth of running a franchise. Stress and pressure come with every job, just like it will come with owning a franchise. Erik asks listeners this, “How am I going to do under pressure guys, pressure will come. That is an absolute 100% given.” Planning for upcoming pressure and how to deal with it will alleviate some hardships of the process.
ASK YOURSELF IF YOU ARE ABLE TO BE A FRANCHISE OWNER
Ask yourself if you are able to be a franchise owner? Can you devote, can you plan, can you take risks and properly delegate? Erik has been in the franchise world for over 20 years, though the success that was achieved did not happen overnight, it also did not just begin. Erik found success in this process far before being in it for 20 years. I feel that being aware of how to properly plan for a franchise, will allow you to reach success at a smoother rate. Just like most things in life, Erik states, “it will work, if you put in the work.” This is a true statement, if you are able to put in the work and have the correct guidance, you will be able to be a successful semi absentee business owner. If you have found yourself wanting to achieve this… Erik provides access to finding out if you are a good fit through his podcasts, YouTube channels and his website www.ilovefranchising.com
