So you’re looking to buy a franchise and turn it into a roaring success. Here are three top tips from people who have done just that.
The free seminar program at the Melbourne Franchising and Business Opportunities expo was the place to be for potential buyers to hear from existing franchisees and franchisors alike.
So what pearls of wisdom can they offer?
1. Embrace the power of the brand
When selecting a franchise system over opening a start-up business, franchisees are quick to highlight the benefits of being backed by a household name.
“The public awareness of our brand just brings business in,” says Paul Kelly, Jim’s Test & Tag.
“You couldn’t put a dollar value on that.”
And when it comes to choosing a franchise system over a start-up, Phill Craig, Laser Plumbing franchisee, says going it alone isn’t all that flash.
“We think our own blood, sweat and tears are worth more than they are,” he explains.
2. Learn to delegate
A benefit of a franchise system is that many models have a head office support team to take care of marketing, administration and other functions. Existing franchisees also emphasise the importance of delegating to staff members where needed.
Michael Smith, a multi-unit franchisee at Clark Rubber admits “letting go” when you’re used to doing things your own way can be a challenge. However, it can be integral to focusing on the business and its development.
“Do more of what you do best and delegate the rest,” adds Kelly.
3. The variables of success
Chris Malcolm, Clark Rubber franchisor, says there are two variables of success; the right territory and the right operator. In his view, selecting a territory close to home can be a big plus, together with following the system.
“Reinventing the wheel is a total waste of time, money and effort,” he explains.
Malcolm also stresses the importance of surrounding yourself with the right people, and staying focused on the business.
“If you want to be successful, get yourself two mentors, not one,” he advises.
“Stay out of politics because politics will not make you successful – focus on your business to make it successful.”