A career transition does not necessarily mean you need to head straight for another corporate job. This is a period of exploration, and for those who dream of owning a business, franchising may be an option. The International Franchise Association predicts a 1.9% growth in 2012, reflecting the rebounding economy. Approximately 4% of all small businesses in the U.S. are franchise-related, and the IFA reports franchise start-ups are more likely to be successful than an independent start-ups.
What is a franchise? Basically, it is a legal and commercial agreement to use another’s trademark or business model. As a franchisee, you pay for the privilege of using an established marketing brand or business strategy.
One of the misconceptions that keeps people from considering franchising as a career option is the notion that one must be an entrepreneur. In fact, being an entrepreneur in the truest sense could create a disappointing franchise experience, because franchising involves a defined operating system, and the level of freedom a franchisee has depends on the franchise policy.
Those in corporate management roles, often are drawn to a franchise in part because of the support and training provided by the parent company. Often, there’s an established national advertising campaign to support local efforts.
From a career-transition point of view, stepping out on your own is less risky when you have an established structure to follow. According to Stephen Maeker, a FranChoice consultant, “these things in total often provide prospective franchisees a feeling that franchising offers them a potential “safety net” that they would not have if they chose to step out on their own. For the person who values this, a franchise can indeed be a very wise choice.”
The key to deciding if a franchise is a good career strategy is conducting extensive research by identifying the products or services that interest you; the different business concepts available; the operating systems involved; and each brand’s reputation.
It pays to network and interview those who are in your field of interest, just as in a more traditional job search. Talking with other franchise owners will give you balanced view of the pros and cons of being a franchisee. You can ask questions about sales support and training from the franchisor, expected revenues and lessons they have learned from operating a franchise.
When considering the franchise option, make sure you include your family in the decision-making process. You also may want to consider talking with a franchise consultant who can give you guidance on the types of franchises available and associated costs.
While franchising does provides a structure, it does not guarantee success. To make a franchise successful, you must be a self-starter and be committed to the venture.
Have you considered a franchise as a career option?
