The work

franchise is an arrangement between a well-known company (the franchiser) and a local operator (the franchisee). The franchisee is self-employed and owns and runs the business, but gets the benefit of running an established business whose products or services are already familiar to the public.

There are different types of franchise agreement, but usually the franchiser pays an initial fee to use the franchising company’s brand, systems and products, and also a regular management service fee based on a percentage of turnover. In return, the franchising company offers training and guidelines for running the business, advertising, and design, fittings and layout of business premises.

Many types of business are run as franchises, for example:

• convenience stores
• food take-aways
• printing
• professional cleaning services
• hairdressers
• parcel delivery
• estate agents
• recruitment consultancies.

Hours and Environment

Most franchises involve long working hours. Actual hours worked varies according to the type of business and may involve evening and weekend work.

The work environment also varies according to the type of franchise.

Skills and Interests

To be a self employed franchisee you should:

• be independent, energetic and self-motivated
• be able to run your own business
• be highly organised
• be able to follow the franchise company's rules and guidelines
• have good numeracy skills to be able to understand budgets and accounts
• have the confidence and skills to market and promote your own business
• have good communication skills

Entry

You do not need any formal qualifications to run most franchises, but you will need general business skills such as people management and an understanding of marketing and basic accounts.

You do not usually need any direct experience of the business that you are running, but you will find it useful to have previous sales and management experience.

You will need enough capital to pay the franchiser’s fees and to build up the business locally in its early stages.

Training

All franchising companies will offer you some kind of initial training. Training may be at your own premises, or at a training centre elsewhere. Some franchisers will also train your employees and provide ongoing training as part of the franchise agreement.

Training is likely to include:

• operating the business to the required standard
• sales skills
• product knowledge, pricing and marketing
• finance, administration and customer relations.

Opportunities

Home-based franchises are usually the simplest and cheapest to set up, although most franchises need business premises and more financial backing.

Annual Income

Further information

Franchise Development Service
http://www.franchise-group.com