Do's & Dont's for Franchisors
DO’s & DONT's Before and After Franchising :
Before You Franchise ………….
- DONT make decisions out of a sense of obligation, Remember this is a long-term commitment.
- DO look for people with the qualities and commitment to implement to look after customers and help build brand.
- DO look for seriousness and commitment while choosing the franchisees as they will represent your brand.
- DO Interview your Franchisees
- DO Get A Good Lawyer (and Accountant).
- DON’T assume, check the accurate financial position of the franchisee
- Do Evaluate the prospective franchisees – Assess the potential strength and weaknesses of the franchisee.
- DON’T look for investors, look for entrepreneurs
After you Franchise…….
- DO Periodic Trainings.
- DO Communicate More
- DO Extend Support to your franchisees from time to time
- DO Improve relations with your franchisee
- DO Regular Meetings.
Franchising your business checklist
Before making the commitment….
- Make sure you afford the time and money to build the business
- Make sure you have the Capital available to progress the business
Plan your Business Development:
- Prepare promotional literature to attract potential franchisees.
- Arrange for adequate Training facilities for your franchisees
- Prepare a training manual
- Create an operational manual
- Put in place a central management team
- Purchase your stock and equipment
- Advertise your franchise network
Take advice from Experts & Professionals:
- Contact a Franchise Consultant!
- Contact a Franchise Solicitor!
- Draw up a franchise Contract !
- Register your trade marks and trade name !
Research :
- Make your products competitive
- Make your products/services distinctive
Pilot Operation :
- Do a pilot operation
- How long has this operation been up and running?
- Test your products and services in as many locations
Franchise Support :
- Ensure you have enough field-support staff .
- Do you have a system in place to monitor franchisee performance?
- Have you prepared a strategy for local and national advertising?
- Will you be producing a newsletter?
