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Becoming a Franchise Owner; Having Realistic Expectations

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Becoming a Franchise Owner; Having Realistic Expectations

By FranchiseKing, Guest Blogger
Published: November 30, 2010

There are two words used in the franchise industry that
can be downright dangerous for some folks that are considering franchise
ownership.

The words that ;m about to share with you are what I
call,-visual words- Yo'll'see

The two words that 'm referring to are'turn-key'

What was the first picture that came into your mind when
you saw those two words?

For me, I saw a key going into the door of an anonymous
retail or food franchise. Then, thoughts of instant business success soon
followed in my little franchise vision.

Now, 'm going to attempt to snap you out of your own
personal franchise vision that you undoubtedly had when you read the words'turn-key. Snap!

A turn-key business doesn't mean that everything is all
setup for you. It also doesn't guarantee that you'll own an easy business to
run.

When you purchase the rights to a franchise business,
even if the marketing/advertising literature (online or offline) says that
you'll be buying a turn-key business, please remember that it's you that'll be turning the key. (Every
day.)

Business.gov contributor, *Caron Beesley,
reminds us, franchisors and franchise associations are very good at persuading
would-be franchisees that franchising is generally a lower business risk, than
independent business ownership
. Read what else Caron says about
a franchise
.

I happen to feel that buying a franchise can be lower
risk than doing a pure start-up business, in the right situation.

The Right
Situation

  • The prospective franchisee's family fully buys into the
    idea.
  • The geographical location is right for the franchise
    business that's been chosen.
  • The financials of the prospective franchisee are strong.

If you're going to start exploring becoming a franchise
owner, please make sure that you remain grounded. By grounded, I mean that
you need to have realistic expectations of what your franchise life is going
to look like, and feel like.

If you think that all you'll have to do is turn the
key
, you will have a rude awakening.
(Rude awakenings in franchising usually come into play around month #6.)

Your life as a franchise owner will have its ups and
downs, along with some twists and turns. It's not going to be easy. You'll be
working harder than you ever have. Your stress level will enter the red zone.
You may doubt your own abilities if the business takes longer to become
profitable than you thought it would. (If you *talk
with existing franchisees
before
you sign your franchise contracts, you'll find out when you can expect the
profit to start trickling in.)

On the positive side of the franchise ownership ledger,
you'll be (in most cases) glad you did it. It's a great feeling to finally be
more in control of your own destiny. Working for yourself beats working for
someone else, hands down. There's just a certain power to it, and you won't
know it until you try.

The money part can be good too! Once you become
profitable, thoughts of growth will become your new visual. Maybe you'll become
a multi-unit franchisee. Who knows? You'll have options. Options are nice to have.

As long as your expectations of life as a franchise owner
are realistic, and you can be patient while your new franchise business ramps
up, the decision to be more in control of your life, via franchising, will be
one of the best decisions you've ever made.

*Non-US Government links

Joel 1a.jpg

The Franchise King®,
Joel Libava, is president of Franchise Selection
Specialists Inc
. Joel provides franchise advisory services to
those interested in exploring franchise ownership, by showing them how to
select and research franchise opportunities. He is frequently called on by the
media for his no-spin insights on the world of franchising. You can follow Joel
on his award winning blog-The Franchise King Blog

About the Author:

FranchiseKing
Joel Libava

Guest Blogger

The Franchise King®, Joel Libava, is the author of Become a Franchise Owner! and is a franchise ownership advisor. He shows people how to carefully choose and properly research franchises.   

Comments:

That "turn-key" word is really an amazing word with a good description behind. Certainly, in business dreaming of your own franchise business is not enough even if you have your resources with you, although franchise business are great one to engage and invest with still they need that skill on how to run and make it effective. House in the Philippines
This was a very helpful article to those looking to purchase a franchise. I've been doing months of research in order to choose the right Franchise. Restaurants, plumbing, and carpet cleaners are all popular Franchises that I have come across. There are also Franchises that deal with automotives accessories. The most intriging site I found was Modbargains. I've always loved cars and hope to combine my passion for cars and being a small business owner. There is no comparison to being your own boss!

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