There are thousands of franchise systems to choose from. It’s a big decision that can easily become overwhelming. That’s why many people turn to franchise consultants, also known as franchise brokers, who act as the middleman between you and a number of hand-selected franchisors.
Their job is to help you narrow down your choices to franchise opportunities that match your skills, preferences and goals to better ensure they’ll be worth your investment. Their services are typically free of charge because franchisors will pay them a hefty commission if their lead (you, a prospective franchisee) turns into a sale.
We know you’re excited about your entrepreneurial adventure as franchise owner. But before you start contacting the first franchise consultants who come up during a Google search, here’s what you need to know:
The First Thing You Should Do Is Identify Your Goals and Budget
What’s the secret to zeroing in on the right franchise concept for you? The answer is getting to know yourself.
Dan Martin, President and CEO of IFX, a franchise management platform, told Business News Daily, “By figuring out your actual goals, you will be able to determine what franchise is a good fit to help you meet those goals.” Once you find clarity on your personal and professional goals, it will be easier to figure out which concept works best with your lifestyle and skill set.
Your interests and skill set play a huge role in choosing a franchise opportunity. Think about the positions you’ve held in the past. What were you praised for in those positions? Those skills likely transfer to multiple industries.
Once you find clarity on your franchise business goals, you should figure out how much you’re able to invest. Franchise opportunity investment levels can range from $10,000 to upwards of $1 million or more.
Taking inventory of your capital and knowing your investment budget gives you a better sense of what opportunities are available to you. For example, it doesn’t make sense to consider a $300,000 franchise opportunity when you only have $150,000 to invest.
Find a Consultant Who’s More Interested in Your Needs Than Theirs
You know how we talked about franchise consultants getting a commission for every franchise sale they make? Well, an industry with this type of pay structure inevitably attracts people who may not have your best interest in mind.
It also doesn’t help that anyone can become a franchise consultant because the profession requires no certifications or licenses. That’s why your friends at America’s Best Franchises will help you decipher a good franchise consultant from a bad one.
Try to find a consultant with experience. That means someone who has either been a franchisee themselves or has a proven track record of success in the franchise consultant industry. Examine their portfolio and ask for testimonials to confirm they’re willing to help you find the right franchise opportunity for you.
A worthwhile franchise consultant will spend your first meeting asking you questions and listening to your goals and needs before ever trying to pitch franchise opportunities. If they’re quick to mention options without doing so or try to pressure your decision, that’s a red flag. The last thing you need is to be pressured into making a major investment that isn’t right for you. And if they don’t show enough interest in what’s important to you, find someone who does.
When you do, be sure to share all of your short- and long-term goals. The more they know about you, the easier it will be to find the perfect fit. Your franchise consultant should know distinct details about the franchises they’re showing you, from support and training to franchisee and employee culture.
Working with an experienced and reputable franchise consultant will save you tons of time and effort. The entire process typically takes between two to three months and at least 15 calls with the consultant – that’s if the franchise consultant is worth your time.
But remember, you don’t need a franchise consultant to identify the right franchise opportunity for you. You can find the perfect match using our newly and thoughtfully designed search feature with the best franchise opportunities in America. Click here to get started.