4 Important Things to Know Before Franchising My Business
Your business is doing great so it seems like the perfect time to expand right? of course, there are different ways to do it, from opening up a second location yourself to franchising your business. With franchising your business, there is less hands on work for you to do then if you run everything yourself, but as with anything, there are always risks.
Here are 4 important things to know before franchising my business.
1. Perfect If You Don’t Want to Invest Too Much
On your own, opening a second location can cost a lot of money, but by becoming a franchisor, you will have franchisees who will pay you to establish their own franchise units. This means you will need less of your capital to do it.
2. You Expand More Rapidly
Your franchisees will be bringing in their own money and doing most of the work to get their locations open. You can have a bunch of them opening up all at the same time which means you will expand your territory more quickly.
3. Less of a Risk
Going the franchise route also means less of a risk for you. If you set up your franchise program up correctly you can build in protections for yourself so that you still earn money even if some of your franchise units don’t do so well.
4. Easier & Quicker Way to Increase Revenue
The franchise fee you will require of all your franchisees is based on the revenue that your franchisees makes so once you have a couple of franchisees that are performing well for you, you will be making a nice tidy profit.
A Few Caveats to Keep in Mind
Keep in mind though that franchising your business isn’t the best move for everyone. You will still be required to spend money to create the infrastructure for your franchise program including the model, the operations and training manuals and any recruitment materials. You will also need staff to help you run your program.
This may not also be the best approach to expanding if you prefer to remain in control of all aspects of your business.
If you know you want to expand, but still have a lot of question, then consider hiring a consulting company to help you. A franchise consultant can guide you through everything from writing up the franchise agreements to marketing materials to recruiting potential franchisees.
Why Choose MBB Management?
As the top franchise consulting firm in Philadelphia, we at MBB Management have worked with local restaurants like Zac’s Burgers, national ones’ like Famous Chaps Pit Beef and international ones like Tony Lukes and we want to work with you.
We work primarily with restaurants looking to expand their business through becoming a franchisor, as well with restaurants who are already franchisors, but who are looking to improve their system. Our consultants can also guide you through the process of hiring personnel as well as increasing efficiency and quality and boosting up franchise sales.
Our services include franchise development for new franchise programs, strategic planning for franchise growth as well as help with all the legal documentation involved. We will also assist you with developing operations and training documentation and franchisee recruitment marketing strategies.
We also work with other businesses looking to franchise as well, including manufacturers, dealers and distributors. For existing franchisors, services include franchise system best practices, benchmarking and organizational audits, improved franchisee support systems and franchise sales coaching.
If you need brand development, name and logo selection and design or due diligence assistance for mergers and acquisitions, we got you covered there too.We first made a name for ourselves in hospitality management, but now we also offer franchise consulting and restaurant consulting services.
Our restaurant consulting services include franchise development, but also so much more. Even if you are not looking for more locations right now, but are hoping to grow your restaurant in other ways or even if you are just starting out with your first restaurant, MBB Management can help.
Our experienced restaurant consultants can help re-teach your staff basic restaurant techniques and help you streamline processes both in the kitchen and in the dining room. Some of their restaurant consulting services include menu design, staff training and food distribution. They can also help you find the right balance between quality services and cost so that you don’t lose customers over poor quality dishes just to save money.
Overall, our knowledgeable and experienced staff can provide you with hands-on consulting to help you grow your restaurant by focusing on the areas that you most need support. If you are considering a franchise consulting company in Philadelphia then consider MBB Management.
Call us today to learn more about how we at MBB Management can help with franchising my business and all your franchise consulting needs.