The price of success often includes investing in growth to open more locations and get into larger markets. One possible way to do this is to turn your small business into a franchising opportunity. Related: 10 Great business ideas for 2019
“A good product or service and a concept that a lot of people are interested in will lead to a successful franchise,” said Eric Newman, former executive vice president of Bojangles’ Famous Chicken ‘n Biscuits chain.
“Once you find a model that can be reasonably executed, you can do a lot with it.”
Business News Daily spoke with triple-crown franchise leaders concerning their tips for achieving fast franchise growth. Related: How to Start a Franchise Business
Expand your “home base.”
Before you try to open franchises outside your immediate area, build up your share of the market you’re already in, said Newman.
If you totally penetrate your home market 1st, you’ll step by step grow your base and expand outward. Related: 10 Unique Business Ideas to Inspire You in 2019
Allow for organic growth.
Accepting large sums of investment capital to build more locations may seem like an attractive way to expand your business, but Newman warned that this artificial growth could hurt you in the long run.
Build up your brand and reputation, and let your business grow organically, even if it takes a little longer at first. Related: What Is The Difference Between A Startup and a Small Business?]
Perfect your business model.
Newman suggested using your early franchise locations to check out and excellent your conception.
Do you have an excellent product with a large appeal?
Is your business scalable and economically feasible? Will it work in other locations? The success or failure of each individual location can help you answer those questions and figure out what needs to be tweaked to guarantee future success. Related: How to Start a Business in a Competitive Industry
Continue to evolve.
Rob Price, president, and CEO of the School of Rock noted that the most successful franchise concepts work hard to keep the business model fresh to “fully capture the imagination of their outstanding owners.
” This includes evolving both your consumer offerings and your marketing, technology and operating model, Price said.
“Franchisees must have a robust business model to perform well and be a formidable competitor in their given industry,” added Steve Jackson, CEO of Hungry Howie’s. “Successful chains start with a stout business model, [then] continue with the growth of the right scale in ideal locations to reach peak market saturation.”Related: Make Sustainability Part of Your Business Model