Change Your Life: Be Part of a Multi Billion Dollar Industry

Dear Readers,

I remember on my last post that i was about to write about internet marketing and how it can help you and your franchise marketing plan. I lied, well i'll do it later instead. What i wanted to share is about an email that i recieved last night. The sender asked me about franchise development and how franchising can help her business.

Franchising really began to blossom in the post-war 1950s and 1960s. Franchisors of convenience goods and services seemed to be popping up on every corner. McDonald's, Kentucky Fried Chicken, laundry services, dry cleaners, hotels, and rental car franchises flooded the marketplace.

After a period of cooling and oversaturation, franchising began to make a comeback of sorts during the late 1980s and early 1990s. This growth has continued, with some ebb and flow, steadily through today. According to a study by PricewaterhouseCoopers: franchise businesses are responsible for 40 percent of all retail sales in the U.S; there are more than 750,000 franchise businesses that generate almost $1 trillion in annual sales; and franchises employ more than 18 million people in the U.S. directly, and over 25 million indirectly.

As it has always done, the franchising model continues to evolve and adapt. For example, over the last decade, multi-unit franchising has emerged to play a significant role. No longer content to operate a single standalone franchise unit, many savvy and aggressive franchisees have opened up several units, and some, even several different brands.

The franchising model works because it provides a formula for operating a successful business by delivering a uniform product and service to customers. It provides franchisors with the capital they need, creates distribution channels, and gives consumers a recognized standard of what to expect and a higher perceived value. Done right, it's a model that benefits business owners, operators, and customers alike. Not to mention, the financial gains from franchising fees, royalties and product purchase.

Different franchise consultant will have their own way of developing the franchise system. Well what we do or rather have been practising came from almost 30 years of experiance. Our consultant is a recognised figure in franchise consultancy and is currently an advisor in i-advisory (IE Singapore).

Franchise Development Process:

#1. Seminar - Expanding your Business

Seminar is a great way of getting an overview of franchising. The seminars should be able to tell you these things:

a. Definition of Franchising

b. Advantages and Disadvantages

c. Types of Franchise

d. Types of Franchise Income

e. Overview of the Franchise Development Process

A seminar is the first step into franchising. Make time to attend one you will be surprised to how much information can be gathered during the seminar.

#2. Consultation

Providing free and most importantly personalised information is essential in developing a franchise. Here you will be able to ask specifically on how YOUR company can be part of this multi billion dollar segment of the industry. This is the time to make full use of the consultant to ask as may questions relevant to your franchising needs. Make use of this time to really understand the concept of franchising and how it works best for you. Ask for examples of franchises related to your business.

After the consultation is done, and you have all the information you wanted. It is really up to you to decide. Setup a core team comprising of the management and discuss the opportunity. Do remember that if there are anything not clariffied, o back to the consultant to get it cleared. That is what they are there for.

Once you have agreed and signed on the dotted line, the following few process will be covered. This i will cover in point form.. Come to my seminar to learn more.

#3. Strategic Planning

a. Initial Client Meeting
b. Concept Research and Review
c. On-Site Analysis
d. Franchise Structure
e. Franchise Revenue Sources
f. Franchise Business Plan

#4. Legal Documentation

a. Individual / Unit Franchise Agreement
b. Disclosure Document
c. Franchise Registration

#5. Operation Services

a. Preliminary Analysis and Outline
b. Operations Visit and Review
c. Final Outline
d. Franchise Operations Manual

#6. Franchise Marketing Services

a. The Franchise Marketing Plan
b. Franchise Marketing Folder / Brochure
c. Franchise Internet Marketing

#7. Franchise Sales Training and Support

a. Franchise Sales Strategy
b. Franchise Sales Manual
c. Franchise Sales Implementation

#8. Franchise Management Training

a. Building the Franchise Organization
b. Training Your Franchisees
c. Providing Effective Field Support
d. Marketing as a Franchisor
e. Franchisor Compliance
f. Franchisee Relations

#9. General Consulting and Program Review

a. One-Year General Consulting Service
b. Year-End Review

So now you briefly know what to expect from a franchise development process and how it may help you. Don't waste time sitting on it.. Franchise it!!