Buying a franchise in a slow economy
Thursday 12th July 2018
Buying a franchise in a slow economy? It is an important consideration at times of economic slowdown. However the focus of your franchise business building should encompass short, medium and long term development considerations.
Ten years ago, we saw the economy slow and customer confidence reduced. So does reduced confidence mean reduced spending power? Not necessarily.
No matter what the state of the economy customers always buy products and services they value and need. The difference is that during times of economic concern customers tend to choose with a more of selectivity. The money is out there and people have not stopped buying. The key is to offer essential services that people value via a recognised brand and do this very well.
The power of franchising
When you buy a franchise you are buying a tried and tested business model. This model must be followed to help ensure the franchisee’s success. Along with the proven business model every franchisee should receive ongoing support and training from their franchisor. The power of this model means that over 90% of franchisees in the UK run profitable franchised businesses.
Does this mean that franchising is recession proof? No, it does not. However a well run business will focus on high levels of customer satisfaction. They will increase repeat business and word of mouth recommendations. This helps any business grow.
So what should you do now?
- Decide what you want to do. Enthusiasm for what you do is a vital ingredient to help ensure success. You can only be enthusiastic about doing what you enjoy.
- Research options via directory information websites such as SelectYourFranchise.co.uk. These will introduce you to a wide range of franchise opportunities and testimonials from their franchisees.
- Contact the franchisor(s) of your choosing via the contact details offered
- Visit the franchisor(s) of your choosing, see their operation and meet the people. Getting on with the people is important in any business building situation.
- See yourself building the franchise business
- Speak to franchisees and ask them any question you like including questions about business performance in an economic downturn.
- Commit to buying the franchise or not.
- If you decide to go ahead then contact the British Franchise Association. Ask for contacts to accredited lawyers and banks, to assist with professional tasks and advise you regarding the buying process.
The next step?
If you are considering buying a franchise in a slow economy you should choose carefully. Don't forget to work hard and follow the proven franchise system with enthusiasm. The best results in all economic climates are achieved by enthusiastic disciples of the proven franchise system.
Ready to begin researching franchise opportunities? Why not start by securely registering for our franchise matching service. We help to match you with potentially suitable franchisors and enable you to begin conversations in our unique messaging area. You are able to control the process. You can decide IF and WHEN you wish to share your personal details with franchisors. Click the register button.