Why should I use a consultant?
If you are considering franchising as a business model, you may find the whole process daunting. You are about to enter into an entirely new business – the business of selling and supporting franchises. And, just like the franchises you are hoping to recruit, you will be going in blind – not knowing what you do not know.
But help is at hand. Just as your future franchises will turn to you for advice on how to run their new businesses, there are experts who can help you with the various aspects of becoming a franchisor.
So why would you consider using a franchise consultant to help you franchise your business:
- You do not know the steps that are necessary and can save time by using a consultant.
- The consultant is likely to have a lot of experience dealing with many different types of businesses and has seen what works and what doesn’t.
- You can continue to focus on your revenue generating activities whilst the consultant develops the franchise system.
- You will not know if the income streams particularly ongoing royalties and local and national marketing fees are viable, or enough to be able to offer the appropriate amount of support for franchisees. Even a 1.0% difference in royalty can be the difference between success and failure. This would put the whole franchise system at risk for both the franchisor and all its franchises.
- The essential strategic planning process will define clearly the roles and responsibilities of the franchisor and its franchises. This process requires a knowledge and understanding of the various types of franchise model, to determine the ideal structure for your business.
- The consultant will have expertise in knowing what needs to be included in the Franchise Agreement, but only after the Strategic Franchise Plan (including the full financials) is developed. This allows for all aspects of the business model to be considered and enshrined in the legal documentation.
- A franchise consultant is in an ideal position to assist in the development of the operational documentation, specifically manuals, to comply with the Franchising Code of Conduct. This ensures that all parties in the franchise system understand their roles and the policies and procedures to operate the business.
- The role of the new franchisor will be very different. Rather than dealing with customers direct, his new customers are his franchises. Franchise consultants can assist the franchisor in this transition and ensure that the support offered to franchises is appropriate.
For further information, contact Bill Lockett on 1300 658 311
or email: firstname.lastname@example.org