Franchise Genius Checklist - Evaluate Franchise Support

I’ve narrowed my search down to three franchises. All of them promise great support. How can I get a better idea of what I’ll really get from each of them?

That’s a great question. One of the main benefits of being in a franchise system is that you don’t have to figure everything out on your own. With a little research, you’ll find a wealth of information about levels of support. That information will help you pick the franchise system that’s right for you.

Before you get started, take a few minutes to think about the word “support” and what that looks and feels like to you. Does it mean someone holding your hand through the pre-opening phase, or does it mean someone handing you a manual and checklist and letting you go? Does it mean an “in-market” field support person living in your market, or are you willing to accept less frequent visits from field staff who fly in from a home office? The better you understand what’s important to you, the more likely you are to get it.

Next, check the UFOC for lawsuits, closures, and transfers of existing units. While not a direct indicator of level and quality of support, they can at least serve as an early warning system. If a company has high levels of lawsuits or closures, it’s a good indicator that you’ll want to look at everything a bit more closely - including support.

Then, review the list below to determine which items are most important to you. Once you’ve reviewed the list, start talking with the prospective franchisors and their existing franchisees. The more people you can talk to, the better. Finally, look for it in writing. Does the franchisor have manuals for training you? For training your employees? How often are they updated? Do people use them? If not, why not?

Finally, remember that no franchise system is going to have everything. A young franchisor will generally have fewer of these, and that’s why it costs less to get into their system. A more mature franchisor will generally have more of these, and that’s why it costs more to get into their system. Here’s the list:

Protection of Intellectual Property

Trademarks and copyrights
Willingness and ability to protect intellectual property from infringement

Real Estate

Verification of suitability of potential locations
Preparation of construction documents
Preparation of signage construction documents
Relationships with contractors
Lease negotiation
Construction oversight
Discounted pricing on materials
Checklists to help keep you on track

Purchasing and Distribution

Vendor screening
Vendor negotiations
Vendor management
Getting the product to you
Getting it to you at a cheaper price than you could on your own

Marketing

Clear, intelligent marketing and advertising plan
Branded marketing and advertising materials
Ability to produce custom materials for you if needed – how much does it cost, and how long does it take
Development of a marketing plan for your business
Guidance to help you maximize your return on invesment on marketing dollars
Grand opening support
Regularly-scheduled marketing coaching
Discounted pricing for media and printing
Advertising cooperatives

Operating Systems

Outlines the standard procedures for running your business. Usually in manual form.

Training Systems

Initial training at the franchisor’s training location – how long? How good will you be when you’re done?
Ongoing pre-opening training – does the franchisor have pre-approved training locations, either franchisee or company-owned, where you can continue practicing what you learned at your initial training?
Grand Opening Training – does someone come out to help you make the final push to getting your business open? How long do they stay? How long have they been with the company and what is their level of experience?

Business Operations

Visits from field staff.
How often do you see someone?
What happens when they come?
Back office support staff
Maximizing profitability
Budgeting and forecasting
Local, Regional, National, and/or International workshops and conferences

Enforcement of Standards

How clearly do they communicate standards? Are they written down? Talked about regularly?
Is there a clear, objective system for measuring compliance to standards?
How often are standards checked to verify compliance?
Once a franchisee or vendor is found to be in non-compliance, what action does the franchisor take, and how quickly do they take it?
Do they leave room for innovation within acceptable guidelines?

Above all, remember this: This is your business, not the franchisors. Support to them might be giving you all of the advice and resources you need to be successful. Support to you might be much more hands-on. Every franchisor has franchise partners who will not be satisfied unless the franchisor does things for them.

You have to find a balance between advice and tools, and getting the job done.

To view additional articles on franchise opportunities and compare profiles of more than 1,800 franchises for sale, please visit www.FranchiseGenius.com

This publication is copyright 2008 by Franchise Genius LLC. This copyright notice and any embedded links within this publication must remain as part of this document.

Brilliant
Ideas

Mainstream Boutique
$20,000 - $45,000

Mainstream Boutique is an exciting retail and fashion franchise concept that sells some of the fashion world's most unique clothing, accessories and giftware at franchise-owned retail stores, and a variety of direct sales venues such as home parties and corporate sponsored events. Our clientele is all ages, all sizes and always on the lookout for something out of the ordinary at affordable prices. Our franchisees are savvy, sales-oriented, and love working with people. Whether you are looking for the perfect outfit, or the perfect business opportunity, Mainstream might be for you!

Kidville
$60,000

Named Best of by New York Magazine and given a five star extraordinary customer rating in The Lila Guide: New Parent Survival Guide, Kidville operates large, upscale facilities, catering to young children and their families. In addition to offering a wide range of developmental classes for newborns through six year olds. Kidville also features an indoor playground, a retail boutique, the Kidville Salon and birthday parties for children up to age nine. There are currently two investment levels. 1. Our Stand Alone Annex Model (3,350 square feet) investment level is $198,150 -$262,900. 2. Our Hub Model (8,000+ square feet) investment level is $615,560 - $777,400. You are able to choose the model that best suits your community and investment level.

Mathnasium Learning Centers
$55,000 - $74,500

Mathnasium is a learning center where students go year-round to boost their math skills. The program is for students in pre-K through 12th grade. Mathnasium's goal is to significantly increase the child’s math skills, understanding of math concepts, and overall school performance, while building confidence and forging a positive attitude toward the subject.

CTi Concrete Technology
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Concrete Technology resurfaces decks, walkways, driveways, patios, interior floors, and swimming pools, giving them the look of stone or any other look desired by the customer. The CTi system is more durable and fade resistant that concrete, and is less expensive to install than removing existing and reinstalling surfaces. CTi provides free estimates.

Yo Naturals!
$50,000

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Acti-Kare
$25,000

Acti-Kare helps seniors remain in the comfort of their own homes, and as a franchise owner, you will be able to help families in your own community help their loved ones live happier, more active lives.

Club Z! In-Home Tutoring
$1

Club Z's one-on-one tutoring program helps students improve their grades, raise their test scores, learn productive study skills, build their academic self-confidence, and reach their full potential. Club Z provides highly individualized instruction in the comfort and security of home, free from distractions. Tutoring sessions may also be scheduled at schools, after school facilities, libraries, or community centers. Club Z serves all ages, pre-kindergarten through adult, and tutoring is available in all core subjects - reading, mathematics, science, history - as well as study skills, foreign languages, standardized test prep, assessment testing such as ACT and SAT, music lessons, and much more.

The Spy Place
$50,000

The Spy Place is a retail outlet that specializes in small spy gadgets to state of the art surveillance equipment. The Spy Place offers an extensive range of consultation, installation and maintenance services for Commercial and Residential customers. We have the experience and trained professionals to solve even the most challenging security needs.