Researching and Choosing a Franchisor: Key Steps to Picking Your Brand

You’ve evaluated your skills and financial capabilities, and you’ve performed a local market study for your desired industry. It’s time to select a franchisor. To do so, you need to research the available brands in your region, reach out to them, and arrange a meeting. This step is essential to find a suitable fit for your passion and new business venture.

The Importance of an Informed Decision

The past 10 to 15 years have highlighted the significance of franchisee due diligence due to several legal disputes in court. Franchisors must provide a Pre-Contractual Information Document (DIP). However, you shouldn’t consider this the only source of information about the brand.

Of course, network developers will always praise the brand in every way they can. They usually get paid to do so. As an independent franchisee, you are responsible for the choices you make.

As such, you need to thoroughly investigate and research the brand you want to sign on as a franchise. There’s also a personal touch: it’s not just about checking the management and financials of the company. You should look at subjective elements, such as values, brand universe, and store type. You’ll quickly learn what to expect from your franchisor.

Discovering Shared Values

Once you become a franchisee, you’ll be the brand’s representative in your area. While you’ll be an independent entrepreneur, you’ll also be part of a network.

It’s best to find a franchisor who shares your values to ensure a fulfilling experience. You don’t want your new venture to feel like a horrid career. What’s more, you don’t want to end up in conflict with the brand’s values. So, it’s best to find out in advance and look for a good franchise culture.

Some brands value the people they work with. They share wealth and kindness, while others steer more towards financial and social success. Some use competition as the driving force, and others believe more in mutual support and respect. On the one hand, companies use profits to support external associations. On the other, they reward their franchisees with lavish vacations.

It’s essential to make a judgement on which values you share with the brand. Choose a franchise whose values align with yours for a harmonious and rewarding partnership.

Embracing the Brand Universe

Before you join any franchise, you’ll want the brand universe to capture your attention. It doesn’t matter whether it’s the market position, service offering, visual presentation, or merchandising options. All of these present the brand’s unique atmosphere, which should appeal to you.

Remember, you will be entering a multi-year contract with the franchise. That means defending and supporting the brand universe and values for a long time. Make sure that you’re at least excited by what they offer.

Here are some questions to ask:

• Do you prefer a low-cost offer or a higher prestigious one?
• Do you want a zen and calm, or a fun and dynamic environment?
• Are you aiming for young or mature clients?

Most franchisors offer competitive performance and success. What’s vital is that you select one that suits you toward becoming a long-time brand ambassador.

Follow Your Dreams

It’s not just about becoming rich and running your own business. You also want to be satisfied by the experience. To this end, you need to consider the type of project proposed by the franchise:

• Are you looking for a point-of-sale setup or remote working from home?
• Would you prefer to remain stationary or be mobile?
• Do you want to manage a small or large team?
• Is your ideal location in a city center, a commercial periphery, a shopping center, or a retail park?

No matter the project, the brand has become a franchise due to proven performance and success. Therefore, your choice should be more subjective. Select a brand that aligns with your passion more than on how well it’s performing.

Where and How to Find Franchisors

Now that you know the criteria for selecting franchisors, how do you find them? You have three available options:

1. Point Franchise UK: We have a directory for recruiting franchisors and a networking portal. With our database, you can quickly research brands in your industry that align with your goals. From there, we will help you contact them for further information.
2. Trade Fairs: These are available in digital and physical formats. At trade fairs, you can meet franchises you are interested in and begin networking. You may find a valuable connection that meets your needs and shares your passion.
3. Information Days: On these special days, you’ll visit the franchise headquarters. You meet the team and see what culture they share among the members. Also, it’s the final step before you request a Pre-Contractual Information Document.

Selecting the Right Franchisors for You

Now that you have enough information, keep two to four franchises that truly align with your vision and passion. With the DIP in hand, you can now move to the next step in the franchising journey. It’s time to compare your options.

Stay tuned as we guide you through the process!