Is a home-based franchise right for you?
Working from home offers many advantages. It provides...
It is tempting to think that success is guaranteed when you join a franchise. After all, the odds are stacked in your favor. You have access to the branding and reputation of a major organization; you're provided with the training, tools and sales techniques that have brought success to countless other franchisees; and the products that you sell are familiar to your customers.
However, it is essential that you do not become complacent. The business environment in which you are operating may be conducive to success, but you still need to turn a profit, pay your royalty fees and secure a loyal customer base.
This does not always come easily. If you are in an area with fierce competition from other businesses that supply the same or similar goods and services, you will need to go above and beyond to stand out and attract customers. Resting on your laurels and hoping that familiarity with your brand is all you need to bring paying customers through your door is a move that is doomed to failure.
Not everybody has the financial acumen that is needed to run a business. Assuming that you will be successful because other franchisees are successful is a dangerous move. It is possible that behind the scenes, those other franchisees are hemorrhaging cash to keep their businesses afloat, and if you do not have sufficient capital to invest or support and advice from business experts, you could be left high and dry.
The system that is set by the franchisor is there for a reason. Pioneering your own path, trying your own marketing tactics or veering away from the brand message at all could have devastating consequences for your business. Not only could you be found to be in breach of the terms and conditions of your franchise agreement, but you could isolate yourself from the customers you are trying to attract. People choose to frequent a franchise business because they know what they are getting; if you mix it up, you will confuse and disorient them and they will stop coming.
Finally, you must be passionate about the business you have joined. If you do not fully commit to its ethos, products and services and dedicate yourself to furthering its mission, you will struggle to make a success of your business venture. Assuming that following the rules and paying your dues is enough to be successful is a mistake. People value authenticity, and if you are only paying lip service to the company's mission, customers will notice.
