Finding The Right Franchisees
Franchising is one of the best ways to grow any business and is suitable for all types of industries. It is specifically the best growth strategy for small and medium-sized businesses that lack access to capital. Small and medium-scale businesses have a tight budget and the size of their team is also small. They don’t have the privileges that the larger businesses have, as well.
Franchising is free of the risks of debt or the cost of equity because it entails using other people’s money to grow and expand. The company does not have to invest much to set up new franchise stores and it can have multiple stores, which is not practical for the company to do on its own.
Apart from not having to invest hugely, the company also has the benefit of not having to deal with the hassles of employing and managing the staff there. The franchise model enables replacing managers with entrepreneurs (franchisees). Because franchisees invest their money and skills, they are more reliable and diligent than salaried employees. Also, they are committed for a very long term.
In any franchise business, the franchisee handles the responsibility of hiring and training the employees, carrying out day-to-day business operations, supervising staff, getting leads and making sales, etc. This lets the franchisors focus on imperative aspects of business such as brand management, innovation, etc.
Franchisees have a sense of ownership so they care about improving the operational quality. Franchising offers rapid market penetration, growth in multiple locations, and large and wide distribution of products or services.
The franchising business model brings incredible advantages. However, the success or failure of any franchise business depends on its most important aspect – The Franchisees.
Finding the right franchisee is the most overwhelming yet inevitable part of the franchise business-building process. It is a long-term commitment too.
But often franchisors are impatient particularly when the business is in a cash flow crunch. They desperately hunt for franchisees and impulsively pick unfit candidates who are willing to invest without minding their backgrounds. And this dramatically affects the future of the business.
It is essential to have a systematic franchisee screening process so that the franchise network of the business is robust enough to achieve business goals and success. When looking for a franchisee identify what value the one you choose can bring to your business.
Check their qualification, experience, skills, and ability to carry out business as per your expectations. Examine if the candidate is passionate about the business and has the fortitude to go through tough times and would be a good team player while adhering to your business values. Verify their background thoroughly to avoid the risk of getting fraudsters associated with the franchise network of your business.
Where to look for Prospective franchisees?
Well, there are a number of ways to discover the perfect franchisees for building your company’s franchise network.
Tradeshow is a great way to network with people, face-to-face. If you can attend franchise tradeshows and events in the line of your business or related to your industry and market there is a high chance of finding the ideal person who can associate with your business. However, this is not just time-consuming but also very painstaking.
- Word-of-mouth Referrals
Franchisors can ask for referrals from existing franchisees, business networks, friends, and family members. This is the least expensive method but franchisors cannot find a lot candidates as desired.
- Running ads
Running ads on Google or Facebook and also on professional social media platforms like LinkedIn and Twitter is a very cost-effective way to reach your prospective franchisees particularly when they are targeted effectively.
- Organic Social Media Strategy
If your budget is very tight and you do want to go with paid ads then it is better to go for social media organic reach. This method however requires patience and time. You can use this opportunity to build your brand awareness on the social media portals where your potential franchisees are likely to hang out and get more out of the effort invested.
- Cold Emailing
Building a very robust email database of eligible people by collecting information through accurate sources is very significant, but not enough. The content created to send to these audiences must be very compelling. Personalization makes the process very effective for seizing the attention of the audience, increasing the opening rate, and holding their interest enough to make them go through the content.
The key is not to stop here. Always keep in touch with eligible people who show genuine interest in your business, even if they are not ready immediately.
- Franchise portals
Listing on Franchise portals is one of the best ways to discover your prospective franchisees because genuinely interested and proficient people flock and sign up into these portals searching for the most suited franchise business opportunity for them. Such portals not only help you find quality candidates but also in good quantity with ease.
DhuMall iHotBiz is one of the top international franchising listing & business opportunities platforms which makes finding the right franchisee a hassle-free and effortless task.
DhuMall is a global marketplace for businesses of all sizes, industries, and nature to shop for various great products, services, business solutions, and opportunities available in more than 200 countries and territories.
The company has the advantage of a valuable and reliable database of top-rated franchise companies seeking to expand globally through master franchising. This comprehensive global franchising listing platform incorporates diverse franchise businesses including Food, Health & Beauty, Education & Training, Computer and Internet, Entertainment, Fitness & Sports, Retail & Retail Services, Jewelry, and many more.
This attracts many competent and zealous people around the world looking for franchising and business opportunities to this platform. The user-friendly platform helps them to filter the listings to refine their search and discover their best-suited opportunities.
You too can list your company on this incredible international franchising listing portal and that too for FREE!
Find Your Right Franchisees
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