How to find fantastic franchisees

18/05/2018 18:00 | Start a business

Find fantastic franchisees - how to do it

Becoming a franchisee often requires balancing skills. On the one hand, a franchisee needs to successfully operate their own business while, on the other hand, adhering to your rules and business model. This is a skill that not all budding entrepreneurs possess. A genuinely entrepreneurial individual prefers to have things their way and, despite having the other skills needed, does not make good franchisee.

This is why the franchisee recruitment process is so vital to the success and longevity of your franchise. As important as it is for a prospective franchisee to find a franchise thats right for them; is your ability to find candidates who are the right fit for your business.

Here are some hints and tips on how to find the right investors for your franchise.

Try before you buy

If its suitable to do so, consider providing prospective franchisees with the chance to job shadow an existing franchisee. This is beneficial for two reasons. Firstly, youll get a better understanding of the candidates capabilities. This is much more effective than reviewing a CV or conducting an interview. Secondly, it gives the prospective franchisee first-hand experience of what its like to be part of your business.

Giving them the opportunity to decide if this is one of the best franchises to invest in for them benefits you too. Without them having a full understanding of what will be required of them, they may make an uninformed decision to become a franchisee. Once theyre on board and they decide that your franchise isnt right for them, they could jeopardise the profitability and reputation of your franchise brand.

Without the necessary drive and ambition to make their franchise a success, disengaged franchisees can negatively affect any future franchisee recruitment when contacted by other prospective franchisees. By providing a few weeks of try before you buy these issues can easily be avoided.

Look right under your nose

You may not even have to worry about the robustness of your recruitment process if you consider the talent thats already within your franchise. If you have a successful, passionate and ambitious active franchisee, why not give them the opportunity to purchase additional territories or units?

The popularity of multi-unit franchising is on the rise for many reasons, not least because of the many benefits that it brings franchisors. If you have existing talent within your franchise, the advantages of multi-unit franchising are:

  • Youll have already developed a relationship with the franchisee.
  • The franchisee has already proven that they are capable of successfully adhering to your franchise model.
  • The franchisee has the necessary know-how about your business systems and operations, so no additional training is required.
  • Youre able to support the franchisee to achieve their growth ambitions.
  • You dont need to find a franchise investor to recruit and so youll have fewer franchisees to manage.

Keep in mind that a multi-unit franchisee needs to have a specific set of skills. Just because a franchisee has been successfully operating a single unit, it doesnt necessarily mean that theyll have what it takes to run more than one unit or territory. Also, from your perspective, multi-unit franchisees require different types of assistance to single unit operators, so you may need to update your support structure to accommodate their needs.

Provide opportunities

For many, the best franchises to invest in are the ones that offer opportunities from within the business. Your franchisees will be able to tell you if any employees within the business have ambitions to find a franchise of their own one day.

Once these individuals have been identified, you can work with your franchisees to start giving them increased responsibilities and providing them with additional training and mentoring. As they already know your franchise business operations and have proven their loyalty to your brand, they are likely to be the perfect fit for your franchise.

Not only do you get to provide your employees with an opportunity to develop, rather than look outside the business for growth opportunities, but you also get to expand your franchise while retaining talent within your business.

Attend a franchise exhibition

There are five British Franchise Association (bfa) accredited exhibitions that are held in the UK every year. By attending a franchise exhibition, youll get the opportunity to meet lots of budding entrepreneurs who are in the market looking for the best franchises to invest in. The very fact that prospective franchisees are attending events such as these demonstrates that they have a strong personal drive which is one of the top characteristics needed to be a success.

The individuals that attend these conferences have usually done their homework and are pretty confident that starting a franchise is right for them. Many have already owned an independent business and are now looking for the support and security that comes from being a franchisee.

The advantage of recruiting someone with previous business ownership experience is that they already have a good understanding of what it takes to be the boss and so theres less for them to have to learn. They will be used to hard work and are prepared to put in the graft to make their franchise a success.

If you decide to invest in a stand at a franchise exhibition, be sure that people know youre going to be there. Send emails to individuals that have contacted you in the past about becoming a franchisee. Use data from your website so that you can let people who have downloaded or requested your franchise brochure know that youll be available to speak to at the exhibition. Also, generate some excitement about the exhibition via your social media accounts. This is a quick and cost-effective way of letting people know when and where the event will be taking place.

However, you choose to find the right franchisees for your business, make sure that you train and advise them well. Only with your support will they become a success.

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