Franchise business has been booming for the past few years. In the Philippines, it is almost in the front cover of every business magazines every month; From Siomai to ink. The promise goes like this, If you have a money, buy a franchise and you have an instant business as a source of extra income. It sounds easy but it is not always that way. A franchise is still a business and like any business, it needs attention.
So what does it take to be a good one?
First you need to like the business. Passion is not always there, but at least you must like what you are doing. It is a lot easier to run the business when you enjoy the activities that come with it. Learning as well becomes fun when you are interested about the business you are running. When you wake up happy and excited about working then that is the time you know you chose the right business.
Second, you need to trust your franchisor. The franchisor is your partner in the business, so like any other partner you have to learn to trust each other. It is best to ask all the questions in your mind about the business, royalties, system etc at the start of the business. Many businesses have failed because there has been a lack of trust between partners.
Third, be professional as a franchisee. Being professional means that you follow what is written in the contract, that you pay what is due to your franchisor and that you do not do anything that is in conflict with the business. As a franchisee myself, I have seen other franchisees who cheated on the master franchisor and 100% of the time they lose the business. The contract most of the time favors the franchisor, so you have to work well with your partner franchisor.
Finally, you still have to work it out. When you buy a franchise, you are buying the system or the brand name (if its brand has value like Jollibee or Mang Inasal). What you are paying for is the experience of the franchisor, so that you do not go through the same mistakes they did when they were starting the business. Do not expect that franchising a business will make you an instant millionaire. You still have to work it out, train the right people and of course market the products.
Never believe the franchisor who tells you that all you need to is pay the franchise fee and they will do the rest. At the end of the day a business is still business, and works best when great attention is put to it.
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