The New Year is right around the corner. Now is the time for you to start picturing what you want to accomplish in 2017. Is buying a franchise on the top of your list?
2017 looks to be a strong year for new franchise owners, especially those in British Columbia with the BC Franchise Regulation Act coming into effect. Across the country, franchise owners are experiencing less risk and more reward with detailed Franchise Disclosure Documents. Although there’s a wealth of information available to potential buyers, you’re still responsible for doing the digging and ensuring a franchise is right for you before you buy.
Before you dive into fulfilling your New Year’s resolution of buying a franchise, read this first so you’re more likely to set yourself up for success.
Get Crystal Clear on Your Goals
You probably already know you want to own your own business and a franchise is an excellent way to get off the ground fast. Still, it’s important to dig into your goals a little deeper before you make an investment.
While you’re considering your options, consider your goals. Answer these questions:
- What do you personally hope to achieve by buying a franchise?
- What role do you want to play in the franchise?
- What skills do you already have that’ll lead you to success with your new franchise?
- What skills don’t you have that’ll require you to hire people up front to help you?
By answering these questions, you’re getting more specific about what franchise ownership will look like to you. As you start to define your role and clarify your skillset (and the areas where you need a little extra help), you’ll begin to see what you can expect as you move ahead. Is franchise ownership shaping up to be what you anticipated? If so, great! If not, it might be time to take a step back and reevaluate.
Get Ready Financially
There are distinct benefits to starting a franchise as opposed to starting a business from ground zero. Franchisors are there to support you with proven marketing material and business plans. You also have a strong brand name already formed before you get started. To access all of these benefits, you need to pay a specified minimum investment to the franchise. How much are you willing to pay?
The financial obligations don’t stop at the minimum investment. You must also invest in capital, including equipment for your franchise, real estate, and franchise marketing materials.
Before you buy your franchise, it’s important you nail down how much you’re able to invest. How much will you be willing to pull from personal savings to get your franchise off the ground? Having a budget in mind will help you determine which franchise makes the most sense for you to buy.
Do Your Research
Whether you’re familiar with the franchise you’re eyeing up, or you’re completely green to the industry, it’s important for you to do some legwork when deciding whether or not to buy a franchise. You’re already researching articles, so you’re off to a good start, but the research shouldn’t stop there.
Talk to other franchise owners. Interview them about their startup experience, day-to-day operations, and their projections for the future. This will give you a better idea of what you can expect when you get started.
Is Starting a Franchise in 2017 Right for You?
Franchises are tremendous opportunities. If you’ve made a resolution to finally buy a franchise in 2017, chances are you’re ready to embrace those opportunities available to you. By doing a little extra research on your personal goals, your finances, and other people’s experiences, you’ll set yourself up for success in the New Year.
Susan Payton is the President of Egg Marketing & Communications, a marketing firm specializing in content writing and social media management. She’s written three business books, including How to Get More Customers With Press Releases, and frequently blogs about small business and marketing on sites including Forbes, AllBusiness, The Marketing Eggspert Blog, and Tweak Your Biz. Follow her on Twitter @eggmarketing.