Franchising Criteria
Choosing The Right Relationships
Even short term projects yield long term relationships. Franchise Transformations is incredibly selective about who we choose to begin a relationship with. No matter the length of a project, the results and relationship are ongoing. Our goal is to create relationships that are deep and meaningful. Watching our clients walk the path to success is like watching a friend, we are there to root on your efforts and celebrate your wins. We do this by limiting who and how many clients we work with and we choose only the best clients that have what it takes to expand into a bright future!
The Criteria:
What does it take to enter the Transformation Process?
The evaluation process to determine if you and your business fit the criteria of a Franchise Transformations process is key to the success of the Transformation Process. We will spend time getting to know you, your business, and evaluate it on a set of criteria that we have determined will set you up for success with the process. The following lists the criteria we consider in the mutual interview process prior to working together. We rank the business in the following categories:
Uniqueness: Is this a new, fresh concept or another version of the same thing. How does your brand differentiate from direct and indirect competitors? We aren’t looking to add another concept to a market that has no clear difference. We seek unique, innovative, fresh concepts or new spins on classic concepts.
Reputation in the Marketplace: Reputation = Brand and Brands are what franchisees are buying. Is the brand known for quality, service, and ethical business practices? Our aim is to launch industry leaders and pioneers.
Ability to Duplicate: Some great concepts are great concepts because they are run by a very specific owner, in a very specific market, etc. Is this a concept that can create a system that can be replicated by franchisees? If it’s too complicated to teach, the brand integrity and success of the concept will be compromised.
Does it Make Business Sense: You can have the coolest, most interesting concept in history but if it doesn’t make money, it’s a non-starter. Folks get into franchising for many reasons but making money is always somewhere high on the list. What is the ROI? How long is the ramp up? What net revenue can owners expect?
Proof of Concept: Too many franchisors begin franchising on the theory of a successful concept. We will not work with clients looking to test their ideas with the money of franchisees. Successful operation of a unit or units is required.
Translation: Does this concept work in multiple markets. Will the concept be able to be translated to fit cultural differences and market needs from one market to the next without compromising on brand integrity?
Commitment for long term: What is the plan for supporting the franchise system once established? Success of the first few franchisees and proof of the system is critical but what are plans beyond the first year or two. Who is involved and what are the resources to build the system once it’s in place?
Team: Who is the team that will implement the system? What impact will that have on running your current business? Having the right team in place doesn’t always happen prior to building the system but it is a critical component in execution. Being a franchisor is not a one man show and cannot be done properly with a sole owner/founder.
These questions/criteria will be the roadmap of our exploration of whether or not the time is right and the concept is right for franchising. You should ask yourselves these questions prior to engaging in the process. Once the initial analysis is complete, we will be able to make a decision together on whether or not we will begin the Transformation Process.