Four Things You Need to Be a Successful Franchisee

Starting and operating a franchise is a challenge, and unfortunately it takes more than just a bit of money to succeed. Personality is an influential factor also. Certain traits – such as being organised, goal orientated, and even a slight risk taker – are of course essential when setting up any new business, but the following two characteristics are particularly significant for a franchisee.

Material resources are also required, and while financial supplies are an obvious necessity, the following two points might not come to mind straight away.

Before you jump into analysing franchises to buy, perhaps your own personality and resources need to be looked at first.

PERSONALITY

Willing to follow rules: a franchise contract means that you are legally bound to follow the franchisor's rules in all areas of business, such as daily operations, marketing, branding and location. A good franchise will explain clearly how to run the business in a successful manner, and your franchisor does not want you to challenge their proven system.

While you may like the model as a whole, there are sometimes elements that you would prefer to change. If you were working independently this would not be a problem, but here, it is not an option. Traditionally entrepreneurs are of rule-breaking spirit, so if you are not comfortable with giving up such control in return for the security that the system offers, then perhaps franchising is not for you.

People skills: as a franchisee, you have to be on your best behaviour. Your franchisor is going to need a good-tempered colleague who will happily get on with the job without causing any fuss. The franchisee-franchisor relationship is built on strong, two-way communication, and therefore you must do your part to stay in contact. Expect visits from your franchisor to check how you are doing, particularly at the beginning when the business is still being set up. It is also to your advantage to make friends with fellow franchisees, as experiences and useful tips can be shared.

If the business requires you to interact with customers, then it is essential to charm them also – provide your services with a smile and they are more likely to return.

RESOURCES

Good health: becoming a franchisee means taking a moderate business risk and then dedicating years of your life to making it work. Franchising is extremely popular for people over 50 and for those who have retired from their job as an employee, and it is always necessary to consider if your age and health will allow you to run the business long enough to recover your investment in it.

Some franchises require you to work long hours – including weekends and holidays – especially in the beginning. If you have low energy then it may not be practical to try and keep this up for long. Instead, choose a franchise that allows you to operate part time.

Mental strength is equally as important as physical. Running your own business comes with psychological pressures and you must be able to cope with stressful situations such as strong competition, teamwork, and sudden changes. When mistakes are made you need the resilience to recover quickly and remain optimistic.

Support from your family and lifestyle: setting up any business takes time and money, and it is essential that you have support from your family. Prepare them for the changes that are going to take place and make sure that the household will be able to handle your higher level of absence, if it occurs.

Franchising is the safest way to start your own business. However, it is still taking a risk, and you need to be living a flexible lifestyle that would be able to stand bankruptcy and failure. When your business is in its early pre-profit stage, it may be preferable for your partner to stay employed in a strong post to ensure that the house has a steady source of income.