Franchising seems to be a dream scheme both for the franchisors as well as for the franchise. Distributed investment, reduced risks, and shared responsibilities make it more than just an appealing option. However, there are certain unspoken rules to this highly successful model of business that decides the fortune of a franchise.
Check out the seven secret success mantra of a solid franchisee-franchisor relationship:
1. Know your goals
Before taking the plunge just take a pause to write your goals crisp and clear. This helps you in finding the right fit for expanding or starting your business with the right people. It is important that the goals of a franchisee and its franchisor are in line to seal a deep long lasting relationship.
2. Explore your options
No doubt franchising is a very attractive option when one thinks of business, but the success rate of a franchise business is directly proportional to the passion and interest of the parties in the industry and model. A franchisor shall definitely work on the model and see that it fits their leadership skills as well as business needs while the franchisee should opt for the one that they have a natural inclination for.
3. Research, Research and research
Whether you are a franchisee or franchisor, research lays the solid foundation for your franchise. The franchisor needs to go through every possible prospect and hunt down the best suit that fits the model in every aspect. While the franchisee needs to go deeper into checking the goals, values, vision and ratings of a franchise before they sign on the dotted line.
4. Communication is the Key
Like in any other relation, this golden rule remains the same. Constant communications, sharing of ideas, insights, training and up skilling are the little pebbles that cement a strong franchisee-franchisor relationship. These little gestures of inclusiveness create a force of oneness that works in favour of both the franchisee and the franchisor. The best way to ensure frequent communication is through occasional email, newsletter, or perfunctory visit on the field.
5. Trust is the crust
Trusting your partner and keeping up with their trust is more important than anything else. A franchisee-franchisor relationship is a symbiotic relationship where the stakes are high on both ends. The franchisor trusts the franchisee with their brand image while the franchisee puts in their hard-owned money into the business. So, if both parties stay true to their badge of honesty and trust then the relation blossoms organically.
6. Being beyond business
Often the most successful bonds are formed when one is able to see through a bigger frame that goes beyond profit and loss. A little effort in getting to know each other, the needs, aspirations and visions help in carving a path more effective and lucrative. Open communication and such transparency also help in building the bricks of trust and value.
7. Respect the franchise agreement
For a franchise to be successful it is important that both the parties treat the agreement as the bible for their business. This not only cuts down the chances of misconceptions and mistakes but also helps in making faster decisions and sticking to the plan which eases the flow to a great extent.
Well these 7 gems certainly ensure a strong foundation to a franchisee-franchisor relationship. Here are a few more insights which are highly recommended by experts for a fruitful franchisee-franchisor relationship:
- Listening to the franchisees and hearing their opinions
- Congratulating franchisees on their achievements
- Offer ongoing support and follow-up engagements.
- Delivering on promises and meeting expectations
- Focus on interpersonal aspects
- Commitment to franchisee success
- Focus on building trust
- Provide continuous feedback on business-related decisions and processes