Even if you’ve decided to purchase a franchise, you may still be on the fence about franchise consulting. I get it: if you’re planning to become a franchise owner, you’re probably an independent, do-it-yourself person. Franchising, however, is a complicated process, and there are literally thousands of options to choose from. A franchise consultant like Dave or Mack can save you time and help increase your chances of success by narrowing down your options to franchises that are a perfect match for your goals, resources, and skills.
How do we do it? Here’s a breakdown of how the process works.
Cost
Put simply, there is no cost. Dave and Mack’s services are always free to the candidate. We get paid a finder’s fee if and when you actually sign with a franchise. We know you’re more likely to purchase a franchise if it meets your needs, so we have a strong incentive to find the right franchise for you.
Starting Out
If you’re interested in using Dave or Mack as your franchise consultant, the process starts with a 20-minute, get-to-know-you call. This is your chance to interview your consultant for the job, so to speak. We want you to have confidence in our expertise, so feel free to ask about our stories–not just the successes, but the failures, too.
On our end, Dave or Mack will probably ask some preliminary questions to help make sure that franchising is a viable option for you. We’ll also explain the process in a little more detail, to give you realistic expectations about the timeline and what your role will be. If everyone feels good about moving forward, we’ll set an appointment for the next step: Understanding.
Understanding
In the Understanding phase, you’ll complete a confidential questionnaire to help us understand the details of your situation. This process only takes about 30 minutes and gives us the information we need to start narrowing the field on your franchise choices. The questionnaire asks about your financial resources, timeline for investing, overall goals, and other baseline information.
Once you complete the questionnaire, your consultant will review it and figure out what other information we need from you to develop a customized list of franchise options. We’ll put together our list of questions, and we’ll schedule a meeting for the next step: Consultation.
Consultation
The Consultation stage involves a 90-minute, face-to-face meeting (either in person or over videoconferencing). During this meeting, we’ll discuss your goals and dreams in depth and cover topics such as financing options, your skills and experience, industry preferences, ownership types, and more. Dave or Mack will ask questions to help pin down what really matters to you and what is unique about your situation.
On your end, this is an opportunity for you to ask any questions you have so far. And by talking through your goals, preferences, and other factors with us, you can develop a better idea of what you want out of franchising. After this meeting, we’ll develop a list of franchises that are just right for you.
Evaluation
This is where using a franchise consultant really pays off. By this point, you’ve only had to invest about two hours of your time in conversations with us. In return, we’ll give you a list of franchise options that fit your needs. If you were to do this on your own, you might have to spend weeks or even months combing through databases and chatting up various franchise owners and companies. And let’s be honest: though we’ve dealt with plenty of helpful, honest franchisees and franchisors, they’re not going to be willing to disclose a lot of detailed information and trade secrets to someone who’s just in the early stage of investigation. Not to mention, they won’t really know you well enough to steer you in the direction that’s right for you.
We, on the other hand, have a process that helps us understand your situation in detail, and we have no reason to hold back on sharing our inside knowledge of the franchise industry. In fact, the more useful information we give you, the more likely you’ll be to find the right franchise fit–which is when we succeed and get paid. So our only motivation is to share what you need to make the right decision for yourself and your family. The list we give you will be short, easy to understand, and customized to your situation. We’ll spend about an hour going over it together so that you understand how each franchise fits with your specific goals and resources.
Selection
The Selection phase will vary in length, depending on your personal decision-making process. This is your time to go away with your list, so to speak, and think it through. You (and your spouse, if you’re married) should spend this time talking about your options, doing more research on each franchise on your list, and making sure all your financial ducks are in a row. During this stage, your consultant will check in regularly to answer any questions you have, help you find the resources you need, and generally serve as a sounding board for your decision. Which brings us to the next stage: Signing.
Signing
The Signing phase, which includes due diligence, usually takes 2-4 weeks. Depending on the franchisor’s process, you may visit their headquarters during this time. Many franchisors hold invitation-only “discovery days” for potential franchisees who are seriously considering signing with the company. During a discovery day, you and your spouse will tour the franchise headquarters and meet face-to-face with the executive team. Keep in mind that, during a discovery day, the franchisor is also evaluating you–but no one should ask you to commit to anything while you’re there.
Once you officially indicate your desire to purchase a franchise, you’ll receive a Franchise Disclosure Document (FDD) from the franchisor. The FDD is a long and complex legal document. It outlines the financial position of the franchise company, the terms of purchase, your ongoing obligations as a franchisee, the franchisor’s ongoing obligations to you, and more. You’ll want to review the FDD in detail and ensure that the information is accurate. You may need to negotiate some of the terms. In addition, the franchisor will request certain information from you. You’ll have to provide proof that you have funds to make the purchase, and may have to provide other information, such as a business plan.
During this phase, Dave or Mack (whoever is your chosen consultant) will be by your side every step of the way. We can help you evaluate the FDD, figure out whether and how to negotiate, and ask the right questions if you need clarification on anything. If you attend a discovery day, we can help you prepare for it ahead of time and process it when you come back. Overall, we can help you make sure that this is the right decision for you and your family.
Ongoing Support
Once you purchase your franchise, your consultant gets paid, but we don’t disappear. One of our promises to our candidates is that we are always just a phone call away. As franchise owners ourselves, we understand that launching the business is just the start of the learning process. We will always be available as a mentor and resource. We’d love to come see your business in operation, and we’re happy to be a sounding board on everything from working with vendors to hiring employees to expansion marketing and more (all at no additional cost). Other franchise owners have done the same for us–we’re just paying it forward.
Ready to save some time and money on your franchise search? Schedule your 20-minute get-to-know-you call today!
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