As an aspiring entrepreneur, you know that being an employee is simply not what you’re meant to be doing with the most productive years of your life. It might bring some security to your daily routine and contribute to your retirement plan, but aside from that, the benefits aren’t extraordinary.
Your creativity is limited, the joy is nowhere to be found, you are making someone else rich, and you can’t share your ideas and vision even though they could be valuable to the company’s direction.
If you’ve caught the entrepreneurship bug, then the following will sound familiar:
- The concept of the 9-to-5 never really made sense to you
- You’re constantly reading about starting an online business
- Your mentors are the serial entrepreneurs of today who seem to have it all figured out
- You have a list of business ideas
- You’ve experimented with different side hustles throughout the years
- You dream of a better life once you are your own boss
- You feel like your mornings/evenings are precious times that shouldn’t be wasted on chores and commuting, but are for working on something that matters to you
- You are tired of not having financial freedom.
If you’ve noticed these signs, then you’re an entrepreneur stuck in a regular job. The only way to get out is to start something on your own, take risks, learn a ton of new skills, and finally feel like you’re doing something that can turn your whole life around. Franchising could help you get started as a business owner.
According to Investopedia, “A franchise is a type of license that a party (franchisee) acquires to allow them to have access to a business’ (franchisor) proprietary knowledge, processes, and trademarks in order to allow the party to sell a product or provide a service under the business’ name. In exchange for gaining the franchise, the franchisee usually pays the franchisor an initial start-up and annual licensing fees.”
A franchise business might sound like an arrangement between two parties, but it’s not just that. It’s also a fantastic opportunity to get access to tried and tested products and services, as well as the support of a big business network, brand recognition and advertising programs.
There are many reasons why start-ups fail, but the franchise business removes most of those barriers. For example, you don’t need experience, and it’s easier to get funding since you’re working with a reputable brand. New business owners often struggle with management and marketing; in a franchise, you can use the work practices of the network.
How can entrepreneurs prepare themselves to make the leap toward buying their own franchise business? I was approached by F45 Training to provide some tips on successfully going from employee to business owner.
How to Prepare for Buying Your Own Franchise Business
1. Meet the minimum requirements.
Most franchisors have certain requirements to make sure you’re qualified. These could include having a good credit score, funds to cover the upfront fees, and sufficient savings.
In a nutshell, you’ll need to fix your financial situation and make sure you’re good to go, even if the franchise business needs some time before it starts earning you money.
Maybe you’ll stay at your regular job, rely on the income of a spouse, use your savings, or have some extra money coming in each month from a side hustle.
Whatever the case may be, use that to your advantage so the brand you want to work with can trust you.
2. Research different franchise opportunities.
Then, it’s time to go through different franchise business opportunities and make a choice. Do this while still at your current job, as this process can take time.
You wouldn’t want to invest your money and time into something you aren’t passionate about or a niche that isn’t profitable. So, choose wisely.
Once you’ve narrowed down the options, think long-term. Research the market to make sure you’re familiar with the biggest names in the industry and their competitors. You want to have a franchise business that’s evergreen, not something seasonal or just trendy.
When you have a few companies in mind, dig deeper and see how they’ve performed from day one, what their philosophy is, what others are saying about them online, etc.
Use your existing knowledge. If you’re a fitness lover, for example, you may already have experience in that niche as a client.
You know what people want, which products they use, and how that fits into their busy lifestyles. You’re aware of the most popular gyms and training systems and can make an informed decision from that.
You might know about the F45 franchise, the fitness community, and functional team training that gets people together and working hard in 45-minute sessions. It’s designed to make you feel stronger and more fully enjoy all aspects of your life.
If you find this inspiring and are also an entrepreneur, you could buy your own franchise location and change members’ lives.
3. Contact the company and study the disclosure agreement.
The next step is to get in touch with one or more companies of your choice and talk about doing business together.
Once you’ve made your choice met their requirements and received the disclosure agreement, review it carefully.
Ask any questions you have at this point. During the following two-week period, both parties should do their own research and review the materials before signing the franchise agreement.
4. Get to know the brand.
You’ll want to learn as much as you can about the company and its market. Visit one of their locations and talk to the managers and employees. See how the workday goes.
They might be offering free training and providing materials with key points you should go through, so make sure you can focus only on this until you are familiar with it. After all, you’re building the foundation that will help you get your franchise business off the ground.
Next comes finalizing the deal and preparing to leave your job. Of course, as with any new venture in life, you’ll need to find a new work-life balance.
Being a franchise business owner might bring some new challenges into your life, but remember why you wanted it in the first place. You will never be satisfied with a 9-to-5 job. So, you owe it to yourself to test a business idea and do your best.
Stock Photo from g-stockstudio @ Shutterstock