There are many considerations to bear in mind before deciding on a franchise, but according to one expert, trust is the biggest factor.
Writing for franchisemagazine.net, Sally Butters appreciates that with hundreds of franchise opportunities for sale, the promise of ‘being your own boss’ and operating within an established business model is a big draw. Plus recent statistics have shown that entrepreneurs and small businesses contribute a huge proportion to the UK economy, smallbusiness.co.uk writes. Little wonder franchising is on the rise.
That said, individuals must feel certain that the decision they are making is right, one worth the leap of faith. For that to happen, Butters says prospective franchisees should identify what’s important, i.e. earning potential, hours, investment level, experience or general interest.
This could help narrow the field down to a few sectors which could be thoroughly researched. Butters recommends the British Franchise Association website for this, as it provides information such as membership of accredited industry bodies, etc and offers insight into the opportunity’s longevity.
She adds that checking their social media activity is another good indicator, revealing how the business communicates with its customers and its overall personality.
In addition, franchisees need to be able to trust the franchisor, thus having a ‘preliminary screening’ criteria is essential. This should cover how quickly and thoroughly they answers queries, what information they send out and whether they can send financial projections. Equally, the franchisor should take steps to ensure the enquirer is the right fit for their franchise.
“Trust is a key decision-making factor,” Butters says. “It is probably one of the biggest decisions you will make in your life and therefore it is not to be taken lightly.”