A franchisee is the cornerstone of a successful business. These are the people who silently work behind the scenes to ensure operations continue smoothly, new branches and expansions are launched with ease, and any other issues that crop up are immediately addressed. They’re also the individuals who directly benefit from their business owner’s success. So why do so many business owners overlook this crucial stakeholder?
Because a bad franchisee can bring your entire business to a standstill. If they’re not happy working in your company, other employees may begin to question their future as well. As a result, they’ll begin searching for another opportunity elsewhere instead of investing energy into making improvements where they can be made most quickly and effectively.
Having said that, the franchise business world is a shark tank, and to succeed as a business owner, you must be equipped with the right instincts. You need to be self-aware, able to take criticism well and handle setbacks professionally. That’s why we’ve compiled this ultimate list of the 7 best traits of a good franchisee. Read on to find out more about what it means to own the perfect character for your venture!
1. Good Franchisees are Self-Educated
Self-education is a key trait of a good franchisee. Say, you want to open an ice cream franchise but you don’t have any experience in the ice cream industry. What you can do is spend some time educating yourself; do some research or perhaps talk to somebody who can give you insights into how an ice cream parlor works.
That means a franchisee who is self-educated is someone who can build on-the-job skills by gaining experience. It’s most important to be self-educated in terms of your specific business and industry, because you need to be more knowledgeable than your competitors and your customers. You also need to be able to assess the strengths and weaknesses of your chosen space and its particular business model.
Getting the right business franchise requires a commitment to complete research. You need to find the right resources and books to get better acquainted with your business, your competition, and the market. This will help you create a better plan for the business and ensure that you’re making the most of a business opportunity.
2. Comfortable with Taking Risks
The best franchisees don’t shy away from taking risks. Instead, they see them as opportunities to learn and grow. A good franchisee is comfortable taking risks, but not without reason. You must understand the level of risk that you’re comfortable with before committing to a business opportunity: be it whatever kind of franchise it is, like opening a donut franchise or something else. If you don’t feel comfortable with risk, don’t be afraid to ask questions. Take a look at the franchisee agreement, speak to relevant consultants, and take the time to understand the level of risk involved with the opportunity.
3. Good Negotiators
Good negotiators can help you close deals. Negotiations are part of any business deal, and they’re especially important when purchasing a franchise. You want to get a good deal on both your purchase price and the length of your contract. Good negotiators are comfortable with both written contracts and in-person negotiations. It’s important that you feel comfortable reading, interpreting, and negotiating contracts. You’re responsible for the entire deal, and if you don’t feel confident in your ability to understand and negotiate contracts, don’t commit.
4. Cares About the Brand
Successful franchisees are loyal to the brand. Caring about the brand is a sign that you’re loyal to the business opportunity. You have a series of obligations as a brand ambassador, from attending business-building events to being a positive ambassador for the brand online. You need to be engaged with your brand, whether that’s in a digital capacity or in person at conventions and networking events. You also need to be prepared to invest time in building your brand, which includes creating a business plan, blogging, creating videos and other forms of content marketing.
5. Passionate and Committed
Successful franchisees are passionate about the business and committed to it. Passion is a key ingredient for success in any industry, especially in this one. You need to be passionate about your business and committed to it. Passion is contagious, and if you’re passionate about your business, it’ll rub off on your customers and other potential franchisees. Successful individuals in this space don’t just put skin in the game by buying into a franchise opportunity. Instead, they invest in their businesses by taking time off work, committing to the long-term success of the brand, and investing in their future success.
6. Driven and Determined
A good franchisee is driven and determined to succeed. The franchise business is competitive, and there will be plenty of times when it feels like you’re up against the wall. But you can’t let that deter you; you need to be driven and determined to succeed. You’re responsible for the growth and success of your business, and that means you need to be diligent and creative with your marketing and branding strategies. Successful franchisees aren’t satisfied with mediocre results. They’re determined to get better.
7. Well Organized and Prepared
Finally, a good franchisee is well-organized and prepared. Successful individuals in franchising aren’t spontaneous. Instead, they plan their business-building strategies and make use of every resource available to them. They’re well organized and prepared, and they have a game plan for every marketing tactic they use. They have this trait mainly because of the fact that it helps them be able to identify what steps they need and what steps they are currently taking.
Owning a franchise is a big commitment, and you have to be prepared for the long haul. If you’re ready to take the plunge, these qualities stand out as signs of a good franchisee. More importantly, perhaps one of the best ways to evaluate a potential franchisee is to meet them in person—this will give you a better sense of who they are as a person and what they want out of the business. Make sure to ask them why they want to be a franchisee and how they’re planning to become successful in the business. If they can articulate a detailed plan, you will know that they are capable of making the necessary investment, commitment, and dedication to succeed in the franchising business.