Frequently asked questions
Franchisors tap into their years of experience to answer some of the most frequently asked questions by people looking at becoming franchise owners
How will buying a franchise affect my work/life balance?
Buying a franchise can have a great impact on your work/life balance, and usually in a positive way. Being your own boss affords you the luxury of flexible working hours, lets you work in a job that you love, and also gives you the potential to earn far more money than you could being an employee. This is especially appealing if you have a family that you would like to work around.
However, this is not to say that with a franchise you can put in minimal effort and get maximum results. You should treat a franchise as you would any other business, and ensure that you put in the time and effort required to make your business a success. There is no such thing as easy money!
Freddie Rayner (pictured right, top), Managing Director of Time for You
What is a franchise resale?
A franchise resale is the selling of an existing franchise. There are a number of reasons why a franchise owner may choose to sell their business. It may be part of their exit strategy and they will have looked to build their business over a particular time period to realise their investment. It could be for personal circumstances, such as relocation, ill health or retirement. It is useful to give some thought to your exit strategy when looking to purchase a franchise. If you build and develop a good business, the value will increase – resulting in financial gain.
For the buyer, a franchise resale is an opportunity to walk into a business and get an immediate income. Regardless of the nature of the business, the new owner has to be prepared to hit the ground running, with no time to ease into it gradually. Depending on the franchise, you may inherit staff and you will normally have existing customers to serve. The initial outlay for the purchase of a franchise resale will be larger than that of a new franchise but you will have the benefit of a ready made business.
Marcelle Ingrouille (pictured right, second from top), Head of Franchising at ServiceMaster Clean & Merry Maids
How important is the franchisor’s brand to the franchise owner’s business?
When you buy into a franchise, one of the most important things that you get access to is the brand. Certainly the business system, the training and the support of the management team is important, but the brand is the cement that holds this together.
A brand is something that is created, nurtured and developed over time and, of course, what a franchise owner is buying essentially is a short cut on time.
An independent business owner has to spend time, money and effort building their brand. Often these owners have little marketing experience, so building the brand takes a lot longer and its development is more haphazard. Plus, of course, limited resources mean they can probably only build their brand locally.
When someone buys into a franchise they have short cut the time it has taken to develop the brand, they have had no expense in creating the brand and they have the use of a brand, with generally a national (and in some cases international) reputation
Nigel Toplis, Managing Director of The ZipYard, Recognition Express, ComputerXplorers and Kall Kwik
Do I need previous experience in business to buy a franchise?
No, you don’t need previous experience in business to buy a franchise. Of course, some businesses are more complex to get to grips with than others, but all reputable franchisors should provide a comprehensive training package that includes the basics of running a business. You should also expect ongoing support (especially in the early days) including access to a telephone helpline.
Julian Minwalla (pictured right, bottom), Chief Executive of Ovenclean