Things to do as a new Franchisee

For any new business it is very essential to survive the initial period, as it is the most critical and where most people fail. Similarly for a new franchisee it is very important to make the right decisions, as these decisions will determine the future of his business. This phase is like laying down the foundation of a building, the building can only be strong if the foundation is strong and hence it is very important to make the right choices. We give you a quick roundup on things to do in order to get off to a good start as a franchisee:

• Good communication with the Franchisor The franchisor is the most important cog in the wheel. You have to rely on the franchisor for various business needs be it financial, product related or even customer related. Hence it is very important as a new franchisee to establish an efficient communication network with the franchisor. This will help with the smooth running of the business.

• Become a part of the franchisee network As you are new to the business, there will be many tricks of the trade that you need to learn. These things can be related to routine work or even in terms of strategy. Hence it is very important to be in touch with other franchisees in order to understand the subtle nuances of the business, which can prove to be very helpful in running it. This network is usually a great place to learn the dos and don’ts of the business.

• Good retail space at a feasible price Most franchised businesses buy retail space to run their stores. This is a big investment and hence one needs to find the best bargain available. It is very important to select the right place keeping in mind the business requirements. Also the financial aspect should not be ignored while buying or leasing this space. Try to get the best bargain for the best place.

• Office equipment and stationery These play an integral part in the day-to-day running of the business. Franchisees often regret doing inadequate research while purchasing office equipment. Most of them believe they could have got far better quality at the same prices had they made time to check with more vendors. Also one should not go overboard when purchasing office stationery. These things have a direct impact on efficiency and your bottom line

• Right marketing plan Most new franchisees often make the mistake of digressing away from the marketing plan laid out for them by the franchisor. This is done with the expectation of getting more business but what franchisees often fail to realize is that the franchisor has invaluable business experience and hence his plan is a well thought out one. Digressing can lead to an unnecessary waste of money and often breaks the terms and conditions of the agreement.

• Staff training and its cost As a new franchisee it is very important to ensure that your staff gets adequate training. The staff interact with the customers on a daily basis and hence it is very important to have well-trained staff to create a favourable impression in the minds of customers. Also the cost of hiring the staff and training them should be considered while preparing a business plan.