Franchising A Business: Client Requirements

If you're wondering about "how to franchise a business," we can help. In the last decade, franchising has expanded to include an ever-widening variety of businesses, products and industries. Its application to new concepts and emerging industries will only increase in the future, as more people decide to "franchise their business."



We seek to work with clients that meet the following "how to franchise a business" requirements:

The business is successful - both financially and in terms of having its concept or method of operation "together;" the length of time that the business has been in operation is relatively unimportant to franchising. (Occasionally we work with clients who have a concept but no operating business. In these cases, we work with them "from scratch" and assist in the development of the prototype unit, while at the same time preparing their franchise program. After the prototype is launched and "debugged," we make adjustments so that the program comes together in a timely fashion.)
The business is in an industry or field that is expected to grow over the next several years or has a new twist if it's in a mature field.
The business is "interesting" to a prospective buyer.
The management of the company possesses the ability to grow with the franchising program.
Prospective buyers of the franchise should realistically be able to recover their investment within a reasonable period of time from the earnings of the business.
Prospective buyers (provided they have the right background and personality profile) should be able to be trained in the day-to-day operations in a reasonable period of time.

If a business meets these " how to franchise a business" requirements, it can usually be franchised. (A simple test of can I "franchise my business" is to determine if you could open company-owned branch units [if you so desired] managed by a company manager. In most cases, "franchising a business" is a very similar process, except that, instead of a company manager, you'd have a "dedicated" manager.) "Franchising a business" is another way to grow -- buyers put up the investment capital to open a business similar to yours.

The sale of franchises is relatively unaffected by the economy. In fact, arguments can be made that franchising does quite well in a weaker economy, since the potential buyer is possibly stagnating at their present position, is eager to control their own destiny, and has assets available (such as equity in a home or a severance package) which can be used to buy a franchise. This desire of people to own a small business gives you the opportunity to franchise.