Franchise Opportunity – 5 Questions to Ask About The Franchise - Nike Zoom Hyperdunk 2011by Bsat Bsat bsat
Volume carries clout in price negotiation Nike Zoom Kobe 6. Messages are carried by more lips.
More signs, more transactions, more bank deposits, more customers, more vendors – it all translates to increased brand recognition Nike Air Flightposite 1. Increased brand recognition should translate to more business for each Franchise.
In addition, growth strategies will generally drive up the Franchise Fee Nike Zoom Hyperdunk 2011. That means that if you pay $2 as a Franchise Fee, and growth strategies drive the Franchise Fee up to $5, then that becomes the base value for your Franchise because the market will pay that price.
That’s a nice return on investment if it’s achieved over a reasonable timeframe, which of course is driven by the Franchisor’s growth strategies Nike Zoom Rookie Womens.O.K.
, so there are lots of good reasons that growth is important as opposed to shrinkage or stagnation. However, you must also feel comfortable that the strategy is sensible. That’s why you need to ask the questions, and you should expect well thought out answers that makes sense to you.What Exit Strategies Are AvailableThere are many factors that should come into your analysis before becoming a Franchisee. The folly often lies in not considering this part of the equation at the very time that you are considering entry into the Franchise in the first place. That’s exactly the time when you need to give significant consideration to the value of the asset that can be created. Ongoing profitability, cashflow, and emotional fulfillment, are all important criteria in the process of making an informed business decision about becoming a Franchisee. But then so is the growth of the asset value you create, along with the ease of realizing that value at the time you intend to exit.You need to discuss these issues with the Franchisor as you consider the Franchise opportunity. If the Franchisor isn’t willing to discuss these issues, then it may mean that there isn’t a solid basis for asset growth, and current profitability is the only consideration. You have to determine how important this particular part of the equation is for you. The important part is to ask the question so you can assess the response in terms of your own goals and dreams.There are many more questions that must be asked of the Franchisor. These five questions will give you a good basis to understand the general strategies and thoughts of the Franchisor. That way you can determine if you have unified thinking, and if that answer is affirmative, then you can craft more specific questions about the system. To receive a free copy of an E-Book titled ‘Franchise Opportunity – Making The Right Decision’ by Dennis Schooley, email that request to firstname.lastname@example.org. Dennis Schooley is the Founder of Schooley Mitchell Telecom Consultants, a Professional Services Franchise Company. He writes for publication, as well as for schooleymitchell.blogging.com and franchises.
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