For those that own a successful small business, it might seem like a natural next step to consider expanding into a franchise. This can certainly be an intimidating undertaking. Thankfully there are experts like Suzanne Cummings to help along the journey, but also take a look at these basic tips for turning a business into a franchise. Remember: if a business is already up and running, one of the most difficult hurdles has already been passed.
First, do a lot of research. If the franchise is expanding on an individual small business, the familiarity and knowledge of the business is already there. If the franchise will be from an existing chain, make sure to truly understand what kind of an undertaking this will be. Either way, create a written plan that covers financial costs and outlines a detailed step by step plan for the business.
Secondly, take the next steps to secure financing. Few people have existing capital ready to go for a new business, so loans are often a big part of this process. Some possible places that can yield funds include the parent business (if this is an existing franchise), fundraisers, and, of course, banks. Often, franchisors will help supply some ways to cover startup costs, so be sure to review the franchise agreement in full to determine if this is an option.
The third step, is of course, to build and open the business. This includes choosing a location, finding the right local team to bring the structure to life, making sure all city codes and regulations are followed so that permits can be secured, and then going to work. Once this part of the process is underway, it’s time to find the right staff to bring the business to life. From there,