Helpful Tips on Writing a Franchise Business Plan

In these times of economic change many are thinking about what they might do with their futures. A lot of people are driven by the impulses of being made redundant, ambition or even retirement preparation and looking at self employment through franchising as a potential way forward. Without a doubt franchise business and self employment is not right for everyone.

Below are a number of tips for finding the best franchise for you. The tips will also help you determine if in fact a franchise business is right for you.

1. Determine what it is you enjoy doing and what your strengths are. Making a major lifestyle move will usually work best if your work is focused around doing what you enjoy and do best.

2. Talk to your partner or spouse and tell them about you desire to build your own franchise business. Make sure that those close to you that could be affected by any move in your employment understand your motives. Make sure that your family will support you emotionally and if possible financially.

3. Admit that running any business is hard work and can have its ups and downs. Happy franchise business is all about replicating proven best practice so this minimizes the downs and maximizes the ups. It is vital therefore that its necessary to follow a proven system.

4. Start your research online by visiting franchise directory sites and reading franchise publications where you can research information about franchising and genuine franchise businesses that are of interest to you.

5. Arrange to visit the franchise companies that interest you the most. Look to meet the key people that would train and support you. Do you like them? Could you work with them? Does the visit create confidence in you?

6. Obtain permission to speak to some of their franchisees. Speak to the franchisees and ask about their experiences. You could ask questions like, are you happy with the franchise? Do you make a profit? What support do you get? Has the recession affected your business sales or profits? Would you buy this franchise if you were me?

7. After you have completed your research, identify which franchise opportunities are of real interest to you. Draw up a short list of options.

8. The next step is to speak to a lender. You can ask the bank for their opinion of the franchise systems of interest to you. Lenders tend to keep records about franchises they know about. From this information you can get insight into the bank’s opinion of your short listed options.

9. If you need to borrow money banks will often lend up to 70% for a proven franchise concept. This is because over 90% of UK franchisees run their businesses at a profit according to the British Franchise Association National Franchise Survey and this gives the banks a lot of confidence to lend to franchise start up owners.

10. The final step will be to pay careful attention to the franchise contract which your chosen franchisor will present you with. This document rules the trading agreement between the franchisor and yourself. A British Franchise Association accredited lawyer should be consulted.

After completing the above steps you should be well enough informed to decide which franchise suits you best. It will then fall to you and the franchisor to sign contracts, pay fees, book in for training and agree on your franchise business launch programme.

Take your time, decide on the best franchise for you and then work hard with your franchisors and customers support to build a profitable franchise business.