Home
>
Small Business
>
Expanding Franchisee Advice

Expanding Franchisee Advice

Franchisor expansion policies are not as simple as one might think. On the mind of every businessperson is the idea of expansion. We think we will make more money when you expand to a second, third, fourth, etc. unit, store or work truck. So you would think if you are franchisee of a large franchise system that the franchisor would want to help you into that additional outlet as soon as possible or, like some franchisors, much sooner. After all they will make more royalties and have an additional unit or push pin on their map of the country or state. The franchisor's goals are actually more complicated than that. Our goal is your success-profit-happiness. Running an additional unit can create tremendous amount of headaches, which a franchisee may or may not be ready for.

Most franchisors have simplified this process of expanding for their franchisees. It does take time however. For instance:

Training of a manager

Hiring of crew members

Scheduling modification

Finding a good lease

Modifying the location

Installing the equipment

Increasing the percent of new customers

Setting up a labor payment programs

Grand Opening Marketing

Vendor Notification and Logisitics

And this is just the start. Some franchisors want to see the franchisees other unit or original unit busting at the seams first. Some even recommend that you have a minimum of 1.5 times what a typical unit in he franchise system does adding units. If your unit or outlet is failing it makes little sense to dig a deeper hole. Get the problem first, then fix it. In other words, get too much business, then expand. Don't expand into the next unit until you have enough business to support both with the first one. This is one reason franchisors often have different policies for corporate franchisees and individual franchisees.

A large corporation can absorb the expansion costs without taking money out of the profits of the existing units. Not every new franchisee going into franchising today understands this, but it is something you should know and think on.

"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.worldthinktank.net/wttbbs

top rated cleaning service Deerfield ..

In The News:

UCC Holding has teamed up with COBOD to create desert-inspired, 3D-printed schools in Qatar, featuring dune-like wavy walls impossible with conventional construction.

Darkling beetles equipped with microchip backpacks can be guided through disaster areas using electrical signals, offering a biological solution for search and rescue.

Scammers use number porting to take control of outdated landlines still connected to financial accounts, bypassing two-factor authentication to steal funds while avoiding detection.

Twitter co-founder Jack Dorsey developed Bitchat, a privacy-focused messaging app that works offline via Bluetooth without requiring email, phone numbers or personal data.

Google is making a push to ensure its AI, Gemini, is tightly integrated with Android systems by granting it access to core apps like WhatsApp, Messages, and Phone.

A new green energy system is set to change how we capture clean power, and it all starts with the ocean. French startup Seaturns has designed technology that taps into the natural motion of the sea.

Cybersecurity researchers are warning that hackers have started exploiting flaws in chatbots to carry out AI phishing attacks.

Google has just made it easier than ever to regain control of your inbox with Gmail's new Manage Subscriptions tool.

Despite the benefits, residential power saver programs come with several potential drawbacks and concerns that have been raised by both customers and experts.

The Blackdot AI tattoo machine is quiet. It's steady. And according to early users, it hurts a lot less.

Attackers have started to exploit the very signals that users assume will keep them safe when it comes to add-ons to improve productivity or entertainment.

Located on Cerro Pachón in Chile, the world's most powerful digital camera is set to transform how we see the universe.

The innovative DQ Tower stands 28 feet tall with 420 square feet of living space, featuring floor-to-ceiling windows and premium amenities in a prefabricated design.

A new mmWave imaging system allows warehouse robots to scan and create 3D models of objects inside sealed containers, potentially revolutionizing shipping processes.

Family fraud endangers seniors when relatives exploit their trust, but removing personal data online and monitoring identity can prevent financial harm to aging parents.

A study analyzing 500,000 customer service interactions shows chatbots struggle with complex issues while human agents excel at matching customer communication styles.

Aigen's Element robot uses solar power and AI to provide farmers with a sustainable alternative to herbicides, working efficiently in cotton and soy fields.

The new Tesla Oasis Supercharger features 11 megawatts of solar panels and 39 megawatt-hours of battery storage, making it one of the largest solar-powered EV stations worldwide.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

Cybercriminals accessed Medicare data of more than 100,000 Americans by creating fraudulent accounts, prompting CMS to deactivate accounts and issue new Medicare cards.

China's battery swap technology from CATL lets electric vehicle owners exchange batteries in under two minutes, with plans to expand to 1,000 stations across 31 Chinese cities by 2025.

Analysts at Silent Push have uncovered a widespread scam that uses counterfeit retail websites to steal the credit card information of online shoppers.

Chrome users need to update their browsers immediately as Google addresses a critical vulnerability that hackers are actively exploiting. Additional security measures are recommended.

A study found teens glance at phones for dangerous two-second intervals while driving, using devices primarily for entertainment, texting and navigation despite crash risks.

Security researchers uncovered a flaw in Windows 11 that allows attackers to disable Secure Boot using Microsoft-signed tools, requiring manual updates to protect against bootkits.

Expanding Franchisee Advice

Small Business