5 Green Flags That You're Ready to Invest in a Franchise

Posted Aug 04, 2015 at 07:01pm By Elinor Stutz

Category: Editorial

A long-term career will raise many questions along the way. This is attributable to having dedicated yourself through the years to hard work in order to become highly competent in your field. Sadly, the reward of having done so didn't quite match up with prior expectations. Recognition and reward are lacking, and you believe the grass (money included) is in fact greener on the franchise side. 

The question becomes, will owning a franchise be the right solution for you? There are several areas of business to seriously contemplate before making the definitive decision to become a new franchise owner.

Values and Priorities
Success begins with knowing yourself inside and out to include honest recognition of weaknesses and strengths. Once you are clear about what's easy and enjoyable for you, this will point you in the direction to find the best-suited franchise.

There is no embarrassment in asking others for their insights. Speak with those who have gone before you to address all uncertainly. Include both successful franchise owners and those who dropped the business, for whatever reason. Are you willing to gain each perspective in full to determine if the franchise opportunity will match your ambition, values and priorities? (Hint: Your answer should be "Yes!")

Mindset
It is a proven fact that to be successful, you need to think positively and foresee success. Owning a franchise requires being a realist and an optimist at the same time. Answer these questions:

  • Do you enjoy conducting business and greeting people from all walks of life?
  • Are you flexible in working with others while keeping your eye on the end goal?
  • Will you pay strict attention to customer service in order to develop a returning and referring clientele?
If your answers to all three questions were "Yes," then continue on.

Leadership Qualities
A serious consideration is the ability to lead and motive employees. 
  • Are you enthusiastic about leading and motivating employees to succeed?
  • Do you have confidence in both hiring and potentially firing employees?
  • Will you teach the best of what you know?
  • Coming full circle, will you strive to improve upon what you found lacking in the corporate world by way of encouraging your very own loyal staff?
If you're franchise owner material, your answers should again be, "Yes!"

Taking on the Role of a Student
Taking direction and constructive input from the franchisor is a requirement for moving forward. You are at the top of your game in your career, so are you truly willing to begin anew as a business owner having to learn many new skill sets? 

Yes? Great! Read on.

Monetary Acumen
Being in business implies taking in more money than is paid out, and always keeping an eye on the bottom line. An educated analysis of the financials is needed prior to investing. Understanding how money is taken in and payments are made will give you excellent insight and will help you to make the best decisions. 

Are you willing to explore a variety of franchise possibilities that most interest you to find the one with the best potential?

If you enthusiastically answered "Yes!" to all the above questions, then you passed the test, and you almost certainly ready to invest in a franchise.


About the author:

Elinor Stutz, CEO of Smooth Sale, speaks and consults worldwide, and is the author of two best selling books: "Nice Girls DO Get the Sale: Relationship Building That Gets Results," and "HIRED! How to Use Sales Techniques to Sell Yourself on Interviews."
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