5 Ways to Scale Your Business Into a Franchise

A franchise is a business model where the franchisee agrees to operate according to the terms preset by the franchisor. In return, the franchisor gives license to the franchisee to use their branding, trademarks, and business methods. The franchise owner receives monthly royalty fees depending on the amount of money the franchise makes.

The idea of a franchise sounds lucrative and promising for the business owner. However, a flawed business model may result in litigation cases coupled with substantial financial difficulties. Below are ways to assist you to help you take your business to the next level.

Know Your Business

Every successful franchise has a unique selling point to attract investors into the business. Be sure that you have something unique to offer and difficult to replicate. You must clearly define your business values, consistency, and quality from the start. A well-organized plan and refined techniques are your marketing strategy for investors to trust in your business model.

You must have a clear vision of where you want to be and the amount of capital you require. Fine-tune the legal aspects, such as the franchise disclosure document and agreement contract. Set up the upfront franchise fees, royalty percentages, and any annual fees for your business.

Invest in Systems

The drive behind a successful franchise is consistency in services and products on sale. Replication of the same product throughout all the franchises may not be possible without custom automation. Fortunately, many technologies can help you out, such as EAD’s Industrial Automation Services.

A mechanized system that benefited from custom automation solutions

These technologies assist your business in meeting the current standards and adjust accordingly to changes in market conditions. Industrial automation allows you to have real-time monitoring and management of business processes. In addition, it helps to reduce wastage, increase efficiency and ease business operations through predictive maintenance. A franchisor who wants to be around for a long must embrace the opportunities presented by automating business processes.

Recruit the Best

Hiring franchisees is the most critical aspect of your franchise. You must ensure you get the right person who is willing to buy into your vision. The personality and mindset of the franchisee will significantly affect your business performance. Passion is an essential element in recruitment, but experience and knowledge make it even easier. Look for people with a rich profile in the line of your business.

People with capital to invest in your business will help you get started without much hustle. Advertise to attract suitable candidates who match up your requirements. Be committed to hold the hands of your new business partners and invest in their professional development. These ways will help you hire and retain the best business associates.

Set Controls and Regulations

Maintaining consistency in your brand requires a lot of discipline. You will need to have a set of rules that your staffs have to follow. I do not mean a strict regime but a guideline to remain faithful to the mission statement. You need to create a list of the approved suppliers from whom your franchisees may source the raw materials.

Create instruction manuals of the use of trademarks, employee management, allowed locations, and allowed service procedures. It should be clear as to what the franchisee needs to pay as fees and in marketing funds. Ensure that franchisees comply with the existing laws to meet employment obligations.

Support and Training

Franchisees are looking forward to becoming bosses and ultimately manage the business on their own. As a franchisor, you must ensure that you offer the necessary support to attain this goal. Be available for the franchisees and provide mentorship programs and avail required resources and training for them.

It may not be practical for a franchisee to attend regular meetings. Explore technologies for more accessible communication and tracking of compliance. Keep abreast with the latest software for easy management and support to your teams. Be willing to listen and fix any problems experienced or breaches of the franchise agreement.


Scaling up a business into a franchise is a huge step that requires the right approach. You need to have the right personnel, systems, and strategies to ensure your business remains competitive. Your business should provide a unique product hard to replicate with appropriate trademarks and copyrights. The steps above provide a guide so that you can confidently take your business to the next level.

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