How To Start A Franchise Business In India
Written by Deepak 24Sep,2021
In India, we can see that in the last few years a large number of people are entering into entrepreneurship and many among them start their journey with franchise business. The main reason is that while starting a franchise business there is a lot that is prepared for things like good branding, good marketing resources and training opportunities. and the risk factor is also less. There is less risk than starting a new business from scratch.
IBEF (Indian brand equity Foundation) also said in its recent report the franchise industry has been dominating Other industries growing at a rate of nearly 30% over the last few years. The growth is seen in stores like fitness retail education, beauty, salon, hospitality, and foods and beverages.
Guidelines for franchising your business:
Business expansion is a long process and it takes lots of time and money. But franchising your business can help in expansion with ease and it also helps in reaching to areas where you want to operate.
1. Analyse your business: Analyse your business properly before franchising your business."A company that is franchised is built and operated entirely differently than most businesses, "So first make your business model and guidelines which you want others to follow. You need to prepare certain documents before franchising your business. These documents include:
1. Franchise agreement
2. Franchise disclosure documents
3. Franchise fees
4. Registration of your brand and logos
2. Do experiment: First, run your business for a few years and see the response of your target customers towards your business. Analyse all the challenges faced by businesses properly before franchising your business. Once you are satisfied with your business’s success rate you can go for franchising your business.
3. Set up training for franchisees: while franchising your business you need a franchisee who can carry your brand reputation properly. For this, you need to give him/her and the entire team proper training on various strategies and operations ."Perfecting your training for new franchisees is critical to overall brand success and maintaining brand standards across all of your franchised locations,"
4. Do agreement and expand: While franchising your business you should do all agreements mentioned above and you should follow all the guidelines required as per your industry and business. Once all your agreements are completed, expand your business with the boom in all the reasons where you want to mark your presence.
Things to do for starting a franchise business
Starting a franchise business is easy and involves less risk but still, we need to keep an eye on each and every detail of the franchise because starting a franchise business is a complex process. Any kind of negligence can be proved costly and it may lead to failure of the business.
Steps to get the franchise:
1. Deep research: People before starting a franchise business must do the research well and know about various industries and how these industries are responding and make plans accordingly. Research helps in finding the best option from the list of many which are very helpful in starting a franchise business.
2. Find the area of interest: Find which industry excites you and motivates you to work hard. We all know that passion is the key ingredient to achieving success. While starting a franchise business one must be very clear about the industry he/she wants to enter into.Find the area of interest in which you want to take the franchise. You can see the list of best franchises available before starting a franchise business from https://www.franchisebazar.com/.
3. Choose the right franchisor: Before starting a franchise business, choosing the right franchisor is always important. While starting a franchise business support from the franchisor plays a very important role in your business success in the long run.After finding the industry which excites you go for the right franchisor. do proper research on brand owners and their business models. Understand their terms and conditions carefully. Find whether the franchisor is helpful? How long will this franchise business model take to give profits? clear all doubts regarding the franchise. Find answers to your questions. you can join live sessions and webinars conducted by https://www.franchisebazar.com/ for better understanding and clarification before starting a franchise business
4. Go for an agreement: Once the industry is fixed and the right franchisor is selected go for the application process. different franchises have different terms and conditions. While starting a franchise business read all terms and conditions carefully and clear all your doubts.
The agreement generally involves royalty fees, terms and conditions for renewal and termination and training and operational guidelines. Then as per the industry, it’s important to take permits from the government. Once all the documentation is done, launch your business with a bang.
5. Human resource: While starting a franchise business it is easy to open a store but the operation is a tough task to perform. For this it's important to buy equipment, hire staff and attend training and also train your staff for their roles. For smooth flow of business clear each and every doubt before launching the franchise business.
6. Launch: When the business is ready to launch your business with a bang. Promotion should be done to target the audience and franchisors and other franchise stores help in the promotion of new stores.
Written By Kiran James
Written By Kiran James ...
Written by Kiran James ...