Want to be your own boss? Here’s how to shrink the risk

By Sarah Stowe | 17 Jan 2018 View comments

Inside Franchise Business: a franchise could minimise risks if you want to own a businessHave you ever thought about being entrepreneur? Do you have the desire to find your true potential while continuing to grow and learn?

Does it appeal to you to be in charge of creative direction, setting budgets, driving sales strategies – maybe even designing your own workspace? The potential of being your own boss sounds pretty exciting, doesn’t it?

But how do you enjoy all the benefits while minimising the potential risk?

Here are some tips to help you along the way.

What are the risks of being your own boss?

Before going out on your own, whether it be as a start-up entrepreneur, or an entrepreneur within a franchise, it’s paramount to consider all the risks associated with doing so.

Some of the things you will need to consider when making the decision about becoming an entrepreneur include:

Losing a steady pay check 

The first thing to consider is that there is no guarantee of a steady income when you say goodbye to your job and in some cases, current career path. For most entrepreneurs starting out in an independent business, there is no option to jump ship and resume your previous job, or even take on a second job, as entrepreneurs usually clock a lot of overtime in the start-up phase.

Sacrificing personal capital

Unless budding entrepreneurs have investors, most have to front their personal money by liquidating their nest egg or safety net.

Cashflow concerns

__Building enough revenue to support your outgoing cash flow is an early challenge. It’s important to come up with a business strategy which is profitable and covers the day-to-day necessities in a timely manner.

Trusting employees

Hiring employees requires a lot of faith. Faith that they will follow the correct policies, be responsible and importantly meet deadlines – which are crucial in the start-up phase while you build your reputation. You will need people who can juggle multiple tasks and who can potentially fit multiple job descriptions all while sharing the same passion you do.

Investing time and health

Managing your own business can make your life more stressful and demand longer hours. If you are considering becoming an entrepreneur you need to be prepared to live a lifestyle of work sometimes bleeding into your personal life.

Why you should choose a franchise

A lot of these risks can be offset by one simple decision –  to become an entrepreneur within a franchise network.

What will you gain from joining an existing business?

Support from the franchisor and other franchisees

Franchises are appealing if you want the reduced risk of a proven model, while still being your own boss. The success of Vision Personal Training rests on this idea.

Successful franchise systems invest in policies and procedures. As a franchisee, you get access to those resources so you can seamlessly step in and run the business. You also get access to support and inspiration from head office and fellow franchisees, group buying power, structured marketing campaigns and staff retention and satisfaction initiatives.

Looking to the future is a key part of any business plan. Your company’s brand positioning and reputation are made stronger by a solid franchise, which has a positive impact if you’re planning on exiting the business down the track.

A business framework

With 20 years of experience Vision has invested a lot of time and passion trialling and testing various business processes and procedures. The end result is a fine-tuned business framework, available to everyone who comes on board as a franchise owner. The investment we’ve made into finding the best model for our industry and demographic would not be feasible for a studio operating outside of a franchise network.

In order to operate a successful business, whether it be in a franchise system or otherwise, your processes and systems have to be premium. Franchises can get acccess to leading systems that are trialled and tested and suited to the business.

Reputation

The right business will ultimately attract the right people. When it comes to employment, people look for the culture, the opportunity for career progression and job security; all things that a franchise network can offer.

A reputation is not only good for employment, but also for attracting customers. If a franchise has a good reputation, there should be a plethora of customer testimonials and a lot of word-of-mouth recommendations.

Choosing the right franchise

When considering which franchise to buy into, make sure it’s in an industry you’re passionate about and that it’s the right company within that industry.

Investing in a franchise is not a decision that should be made lightly. I implore all those interested to really do your research on the company and its people.

What do they stand for? Do you feel you share the same goals?

Ensure you meet with them face to face to sense if you have a connection.

I learned early on just how important it is to create opportunities for career growth in order to retain the right employees. It goes without saying that in a franchise network, employees have a lot more opportunities to grow their career.

In the case of Vision, many employees start out as personal trainer, but when they are taken through the initial mentor program that we run in every studio, they are introduced to all available avenues and encouraged to think about where they want to be career-wise, in the short and long term.

How to get rewards from franchising

Being in a franchise network allows individuals to be a part of something bigger than an independent business could achieve on its own. That means franchises have the ability to create something unique when compared to competing brands within the market.

So take your time and do your research. Dig deep inside and ask yourself the important questions before embarking on this incredible journey – hopefully the most rewarding project of your life.

Once you have done your research, I recommend reflecting on your personal goals and assessing whether they align with those of the company. Follow your moral compass and don’t get swept up in the trends.

When your work is linked to your life’s purpose you have the luxury of never working a day in your life.