Want to Become a Franchise Business Owner in 2023? Resolve to do These 10 Things.
A new year is upon us, and many people are contemplating resolutions. According to discoverhappyhabits.com, 39% of U.S. adults surveyed set resolutions every year. The most popular resolutions are health-related. Quitting smoking, losing weight, working out, and eating healthier are common New Year’s resolutions. But what about securing financial freedom or spending more time with family? These goals can be attained by becoming a franchise business owner.
The process of becoming a business owner takes discipline and due diligence. If you have been contemplating becoming a franchise business owner in 2023, you’ll be more successful if you resolve to do these 10 things.
New Year’s Resolutions for Prospective Business Owners
Avoid Online Franchise Portals
Stay away from online franchise portals. Once you submit your information to receive more information, you will be inundated with endless calls and emails that may scare you away from the process right out of the gate.
Resolve to Work with a Franchise Consultant
A franchise consultant will give you unbiased advice at no charge. You do not have to pay one cent for their services, but you benefit from their expertise. And don’t worry about wasting their time. Whether you are looking to replace a job or build a business empire, every encounter with a potential business owner provides a unique set of circumstances and objections that can be applied to other candidates.
Respect the Process
When working with a franchise consultant, respect their process. This way, they can do their best to create a profile on your behalf.
Provide Accurate and Complete Financial Information
It is important to understand your budget and how much you are willing to set aside for a business venture. Additionally, understanding the net worth and liquid capital requirements of the franchisor is equally important.
Keep an Open Mind
Do not lock yourself into a specific brand or concept. You may fall in love with a franchise because you are familiar with it, but that does not mean it is the right business for you!
Include Your Significant Other
Invite your spouse or life partner on this journey with you. They know you better than you know yourself and may think of questions or concerns you haven’t considered. Additionally, having your spouse or partner on board will make this process easier.
Remember that Vetting is Mutual
The franchise discovery process is not a selling process. It is an awarding process. While you are interviewing the franchisor, the franchisor is interviewing you. They want to see if you are a great fit for the company and culture. If you are told by the franchisor or a franchise consultant that franchise business ownership is not meant for you, do not take it as an insult. Instead, be grateful for the honesty.
Trust Your Gut
Avoid filling up with head trash. There will always be well-intentioned family, friends, and business associates who mean well but exclaim that you must be crazy to go into business for yourself. If the business makes sense to you and your significant other, and you have done your due diligence, you shouldn’t be dissuaded by others.
Hire a Franchise Attorney
When it comes time to review the Franchise Disclosure Document and the Franchise Agreement, seek the help of a franchise attorney. You may be told that the franchisor is not accepting changes to the FDD, but that does not matter. Do not try to go through this process on your own. This is a contractual obligation, and you must understand what you are signing.
Consider Hiring a CPA
Consider hiring a CPA with a business strategy capability if you purchase multiple units. A CPA will help you understand the pro forma, provide a business plan for how to open each location, and create a rough schedule to get you there.
Although New Year’s resolutions are usually reserved for life-long goals, your franchise discovery process can benefit by implementing these good practices. Cheers to a new year filled with possibilities. There are always unknowns, but that never goes away with business ownership. Your best chance to succeed is to have a solid foundation under your feet from the start! Franchising provides a layer of that foundation for you, and then you can layer in the rest with a strong team surrounding you!
“Always bear in mind that your own resolution to succeed is more important than any other.”
– Abraham Lincoln