1. Do you have a “franchisable” business?
There are quite a few qualities that a good franchise should have when compared to that of your typical standalone restaurant or business. A quality franchise will likely portray a highly unique business model that can be duplicated time and again by franchisees relatively easily. The main business model behind any business that wishes to become a franchise must contain a number of defining traits that can serve to set it apart from other businesses in a given market. Finally, starting a franchise is not easy, but having a business plan that carries appeal to the masses will make things a whole lot easier. If you think you have a great idea with these qualities, you may want to consider franchising.
2. Have you opened your business or restaurant in multiple locations?
Before you decide to franchise your restaurant or business consider the idea of having multiple locations by opening up another storefront. With a second location that you run yourself, you will be able to learn about whether or not your restaurant is actually capable of maintaining business in other places. Keep in mind how the challenges you face will pop up when you start to franchise your restaurant or business.
3. Can you support your franchisees?
It is clear that your franchisees will be relying on you and your business model. You have to be prepared to train them uniformly so that you might keep the idea behind your business or restaurant once you begin franchising. Make sure to consider how you might be able to keep your franchisees happy and coming back. Also, do not forget to think about how you will keep at consistent atmosphere across separate locations.
4. Have you thought about how you will market and advertise your franchise?
A successful franchise will need a way to market itself both to the general public as well as to potential franchisees. Without thorough and executable marketing and advertising plans, it will be difficult for franchisees and their customers to find reasons to do business with you. Do your research and know what you have in mind when it comes to advertising as well as marketing your business.
5. Have you taken necessary legal actions?
Because franchising is regulated by the Federal Trade Commission, before you get to far you will be required to take legal considerations. Get things like trademarks and legal documents in place, and consult with a franchise lawyer to make sure all of the proper documents and procedures are in place.