This article focusses on detailing all the elemental steps required for franchising your business in the right way.
Franchising an existing business model isn’t easy at all. It involves a paradigm shift of the way you do business and requires thorough market research and strategy development to proceed with the same. As you might not have the in-depth knowledge and expertise required for franchising your business, seeking guidance of experienced consultants is always advised. They can answer all your queries related to ‘how to franchise my business’ and help you develop a proper plan.
Following here is a step-by-step guide on how to franchise a business in the most efficient way.
Step 1: Know your business right
You can’t just take a random decision of franchising your business without figuring out whether it will be the right decision. To understand whether your business can be replicated or is worthy of franchising, it is important to conduct an in-depth analysis of your business and understand whether you can achieve success by franchising your operations.
Step 2: Conduct a market research
Now that you have evaluated your business well, it is important for you to understand the markets where you will be operating. An analysis of the competitors, and legal regulations are to be done to get a better hold of the market and deal with the potential issues involved.
Step 3: Safeguard your IP (Intellectual Properties)
In the next step, you must register all your intellectual properties such as trademark, logos, and more. Protecting these valuable assets is a great way to build a strong brand and use the same in the best way possible.
Step 4: Select franchisees
After you have evaluated your business model and the potential market, and registered all your Intellectual Properties, you need to develop a proper strategy for recruiting potential candidates as your franchisees. You must set a list of requirements or qualifications you want to look for in your franchisees and choose them accordingly.
Step 5: Prepare the operations manual
Operations Manual serves as a detailed guide where your franchisees can get a clear picture of how your business work. It will include everything about the processes and tips to interact with the clients. This in turn will allow them to increase their ability of maintaining consistent quality across all the units.
Step 6: Prepare the franchise documents
In this step, you need to prepare a disclosure document and franchise agreement. Other important documents such as property licenses, personal guarantees, confidentiality agreements, non-complete deeds, and more.
Step 7: Ensure holistic training as per industry standards
Setting training standards is also important to make sure you’re providing the right type of training and support to your franchisees such that they can learn the skills to establish and operate new outlets on their own. Necessary training on the various technologies, techniques, tools, and processes should be given by organising on-site and off-site training sessions and offering them complete information.
The bottom line
Lastly, professional guidance of consultants is always recommended to ensure you pass through all the steps efficiently and succeed in establishing a highly profitable chain of franchising business. With their specialised planning, it would be much easier for you to plan ‘how to franchise my business’ and manage all the complex activities involved like a pro.
The author is one of the renowned consultants in Australia who has been offering extensive information to entrepreneurs who are willing to franchise their existing operations. He also likes to write insightful blogs and articles on a variety of topics related to the industry such as ‘how to franchise my business’, benefits of franchising, tips to choose the right franchisees and more.