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How To Determine Your Personal Top Franchises To Buy?

How To Determine Your Personal Top Franchises To Buy?

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Page 1: How To Determine Your Personal Top Franchises To Buy?

How To DetermineYour Personal Top Franchises To Buy?

Page 2: How To Determine Your Personal Top Franchises To Buy?

There are literally thousands of lists of “Top Franchises to Buy” on the Internet, and all of them have some kind of logic behind them...

Page 3: How To Determine Your Personal Top Franchises To Buy?

The problem is that “some kind of logic” isn’t necessarily your kind of logic.

Page 4: How To Determine Your Personal Top Franchises To Buy?

This is a guide to understandingyour logic and learning how to

apply it to your personal‘Top Franchises to Buy” list

Page 5: How To Determine Your Personal Top Franchises To Buy?

Step 0: Start With What You Love

The first thing you need to do is cross off 95% of the

potential franchises in the world by crossing off anything

and everything you don’t care deeply about. The single

most important indicator of success among people who

actually sign a franchise deal is that they are dedicated to

the idea they sign onto. If you don’t start with passion,

you’ll never end with a profit.

Page 6: How To Determine Your Personal Top Franchises To Buy?

Step 1: Understand Your Limitations

Every franchise has certain requirements

— some more than others — and your

personal ‘Top Franchises’ list is going to have

to automatically cross off any that you

simply can’t meet the requirements of.

Page 7: How To Determine Your Personal Top Franchises To Buy?

The most common forms of requirements are:

● Funding. Far and away the most common requirement for

people that want to buy into a franchise. Franchises require

a lot of money to start up, and then even more to keep

afloat until you start turning a profit. If you don’t have the

financial backing, you don’t have a franchise, period.

Page 8: How To Determine Your Personal Top Franchises To Buy?

● Net Worth. Some franchisers additionally require

you to have a level of personal net worth before

they’ll consider you — $250,000 in semi-liquid

assets is a fairly common requirement. Again, if you

don’t have it, you’re out of luck.

Page 9: How To Determine Your Personal Top Franchises To Buy?

● Education. More rarely, but still known to happen, a

franchiser might require you to have a certain level of

education or even a certain specific major, minor, or

degree in order to consider you a viable candidate.

Page 10: How To Determine Your Personal Top Franchises To Buy?

● Legal. Finally, you have the requirements that aren’t

inflicted by the franchiser, but by the government. If you

can’t, for whatever reason, get all of the licenses,

permits, and so on, you’re going to have to look at a

different franchise opportunity.

Page 11: How To Determine Your Personal Top Franchises To Buy?

Step 2: Can You Turn A Profit

Once you’ve crossed off all of the franchises that are

“hard nos” because of Step 1, it’s time for the hard work:

crossing off any and all of the franchises that don’t have

a business plan that shows you turning a solid profit

sometime between 15 and 30 months out...

Page 12: How To Determine Your Personal Top Franchises To Buy?

Any longer than that, and you risk a ‘black swan’

event ruining you before you start getting your feet

under you; any shorter than that, and you have to ask

yourself if you wouldn’t be better off establishing

yourself as a competitor to that franchise rather than

becoming a part of it.

Page 13: How To Determine Your Personal Top Franchises To Buy?

Similarly, if the profitability isn’t significant after a few

years, you’re running the risk of a small economic downturn

or a shift in the market wiping out your profit entirely in the

first place.

Page 14: How To Determine Your Personal Top Franchises To Buy?

Before you move on, do all the work you need to in order

to cross off any franchises on your list that aren’t going to be

reliably, decently profitable within a reasonable timeframe.

Page 15: How To Determine Your Personal Top Franchises To Buy?

Step 3: Will They Help You When You Need It

Every business owner needs help somewhere along

the way — franchise owners should be able to expect it

from their franchiser.

Page 16: How To Determine Your Personal Top Franchises To Buy?

But not all franchisers play ball, so before you make any decisions, you need to cross off one last group of franchisers: those who fail to offer meaningful assistance in each of these four key areas:

● Management

● Location

● Budgeting and Cost Control

● Key Business Activity

Page 17: How To Determine Your Personal Top Franchises To Buy?

● Management: the tools you need to recruit, train, and manage

employees.

● Location: assistance in finding and acquiring the right place for your

franchise.

● Budgeting and Cost Control: the structure you need to stay afloat

until you turn a profit.

● Key Business Activity: whatever your franchise actually does to turn a

profit, there should be an ample amount of help available to ensure

you can do it as well as the home office knows how.

Page 18: How To Determine Your Personal Top Franchises To Buy?

Congratulations! Now that you have all of those franchises crossed off, arrange the rest according to your personal ROI/Job Satisfaction needs, and start applying.

Page 19: How To Determine Your Personal Top Franchises To Buy?

When you do apply be ready to deal with the company’s franchise recruiter. This is the person whose job is to “sell” you on the benefits of buying into that particular brand.

Page 20: How To Determine Your Personal Top Franchises To Buy?

Another way to go is to work with a franchise broker. Brokers are under contract with several hundred of the top regional and national franchise brands and they are not “captive” to any one particular company. This frees them up to do all the legwork for you and help you find your top franchise to buy – based on your passion, skills and budget.

For more info, visit

http://franchisecity.net