October 21, 2005

So .You bought a Franchise. Now What!?

Filed under: Franchising — Administrator @ 5:55 pm

Many franchisees wonder what happens after they sign on the dotted line . There are so many unknowns, especially for those who are new to franchising. From wondering what steps it takes, and the time frame involved in getting their franchise open, to concern that an important step will be missed, and it will be detrimental to a smooth opening. Each franchisor will have a different set of responses to these concerns, but there are some very basic events ANY new franchisee can expect once they have decided to purchase the franchise of their choice. System Documentation. As a new franchisee, you can expect to receive a large amount of printed information very quickly. Most franchisors know that the sooner they get the information to you, the sooner you can start learning, gaining confidence, and taking the necessary steps toward your business being operational. Franchisors want the franchisee to be up and running successfully in as little time as possible. Most of these papers will consist of things like training manuals, marketing and new business setup. Sometimes the information will be presented on video, Audio CD s and sometimes personal visits from franchisor employees. Critical Path Items. Franchisors will be able to identify and communicate the necessary steps to take toward opening your franchise quickly and with as little mistakes as possible. Some of these subjects could include finding an ideal location, and how to handle the zoning or permit issues that you could encounter, employee interviewing and hiring processes, building/outfitting your franchise with the necessary equipment and sometimes even the requirements for any training which all new franchisees must participate in. During this part of the process, the franchisor will communicate which part of the process takes the longest, and will help you get started on that process immediately. This helps to keep delays at bay. Checklists. Opening a franchise is a detailed process, and also a time of highs tress. One of the best ways to keep on track is with checklists, and these are usually provided to you in great detail in your information packet. Most franchisors will include approximate time-spans for each task, so that franchisees can be sure they are staying on schedule. This takes a lot of the stress out of the process. Each franchisor will have a different time line recommendation for their unique franchise, and each checklist is designed to help new franchisees stay on track. Sometimes this is done in weekly checklists, and other times in a more flexible time schedule. Every franchisee wants to know how long it will take to get their franchise up and running. There are no black and white answers to this, as every situation and every franchise opportunity brings new variables to the table. Here are a couple of general guidelines. Finding a location. If a location is found already mostly built, it will take between 3 and 6 months to have it completed. If it needs to be built, it can take approx. 24 months. Training. Training generally can take between 1 and 3 months to complete. Financing. Again, there are many variables surrounding this process, but it usually falls somewhere between 6 weeks and 6 months. As with any new business venture, or major life decision, buying a franchise can be fraught with a lot of anxiety about unknowns. It is very important to ask as many questions as you need to understand and receive the amount of support you need to be successful. Best of luck on your franchising adventure!

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