Are you 'FIT' for a Franchise?
Are you ‘FIT’ for a Franchise?
This is the question that pops up for any individual who is contemplating taking the leap into the franchising world. We wouldn’t say franchising is for everybody, as a franchisor we also look into certain aspects or characteristics which a prospective franchisee needs to qualify in order to be considered. Financial aspects aside, an individual needs to uphold the calibre to survive amidst the cutthroat competitions in the market. Any business requires the business owner to be passionate about what he sells. You need to believe in the product you are selling.
A franchisor invests their time, money and reputation, so we would have developed a "profile" of a successful franchisee, which we use to determine if you meet our business requirements. The listings below are the critical items that a prospective franchise must possess:
Finance: Any business requires a sound capital. The ratio of the investment available with regards to assets Vs liquid cash is debatable from business to business. A strong capital backing will ensure you hit the ROI profitability with ease, without worrying about the day-to-day transactions, which incurs costs. Do a simple net worth statement before you start your franchise search. Add up your assets. Then add up your liabilities. The difference between the two is your net worth. You’ll need this information for the franchisors.
- Passion: The probability to success is proportional to the passion you have towards your business. A franchise model sets up the brand in the market, but you would need the zeal to capture the market. The franchise would have to maintain the enthusiasm through out their business and not just through the phase of making the decision of getting into the business.
- Experience: Franchising is one area of business where your specific experience is less important than other factors, that's because of the excellent training provided by franchisor. In truth, many franchisors prefer franchisees without industry experience because it is easier to train someone in a franchisor's system than it is to "un-train" a franchisee, who may have ideas that conflict with the way a franchise system works.
- Skills: An introspection of strengths and weakness is a must before you embark on the journey of being a franchise. It is essential to know if you have the people skills required to successfully run the franchise or you would need a front runner to achieve the success in the said field. Also its franchisors need you to have the business acumen and understand how the parts of a business contribute to the whole.
