In my over three decades experience as a franchise consultant, I am often asked “When franchising your business, what are some of the most important considerations?”

Here, I will examine one of those issues: what types of people make good franchisees? When franchising your business, if you understand what attributes to seek out in your prospective franchisees, your efforts will be far more successful.

While every franchise program is different, when franchising your business, there are some points to consider in your future franchisees:

  1. Does the prospect currently have the necessary financial resources?
  2. If not, does this person have a reasonable likelihood of being able to get a loan for the needed amount?
  3. If your franchisee must have a certification or license, does the candidate currently meet this requirement or can he/she obtain the essential credentials?
  4. Do the anticipated profits from your specific franchise opportunity meet this prospect’s needs? Does the person have other sources of revenue, such as investments or alimony, to help meet his/her requirements for income?
  5. Is this the right person to share your brand name and image?
  6. How much time will it take for the franchise location to become profitable? Can this candidate pay his/her bills until the franchise begins to generate returns?
  7. Is the applicant a team-player?
  8. Does this person have the desired experience and business skills to thrive in this opportunity?
  9. What seems to attract the candidate to your franchise? Based on what you know about your business, is this appeal sustainable?
  10. Does this candidate follow your guidance in the franchise sales process? Will he/ she cooperate with you and your other franchisees after the business opens?
  11. What is the applicant’s exit strategy for the franchise?
  12. Do you believe the prospective franchisee shares your company vision, philosophy and goals?
  13. Does the candidate understand what it takes to become and remain successful?
  14. How much time does the applicant have to devote to the franchise? Does he/she have too many other responsibilities to succeed in this endeavor?

As motivated as you may be to sell a particular franchise, if you do not take the effort to make sure you are selling it to the right person, you could be creating an on-going problem for yourself and your franchise program.

A franchisee who is a poor fit can cause problems for your franchise support team and other franchisees. They can also discourage future franchise sales.

Thinking About Franchising?

NFA Franchise Consultants have the experience to help businesses franchise.  Just watch and listen to some of our client case studies and video testimonials.  We can HELP YOU and it doesn’t cost anything to call and talk to us! 

So, if you are still asking the “should I franchise my business” question over and over with no clear direction, give us a call at (706) 356-5637, or contact us through our online form.  We look forward to helping you take your business to the next level and beyond.