These five considerations are why you need to start planning for your new business now
October is the time that most people’s attention turns to the fun of fall. College football, sweater weather, state fairs and holidays are just a few touchstones associated with the fourth and final quarter of 2015.
It’s understandable to not want to fast forward to 2016 since we are only a few weeks into the glory of autumn, but if you see yourself opening your own business franchise in the new year, the time to start planning is right now.
Here’s why:
Let’s start with 3,000 things to consider. As in, there are more than 3,000 franchise brands in existence, and figuring out which ones fit you best won’t happen by spending a few nights on the internet. As a franchise consultant, the most important thing I do with candidates is help them determine what they want from a franchise, then pare down their options to fit their life goals and dreams.
Family will want some time to digest the news. This probably isn’t terribly surprising, but, “Hey, Honey, I’m quitting my job to open a franchise!” will likely be a longer conversation than tonight’s typical dinner banter. Unlike a job, opening a business will involve the entire family to some degree. Planning your conversation with your spouse and your children will make a big difference in how receptive they are to your ideas and their willingness to jump on board.
Unless you’re buying your business with cash, financing can take some time. You’ll need to determine how much money you have to invest in a business, then consider your options. Do you want a Small Business Association loan? Will you look to borrow from family? What about rolling over an eligible retirement account? Whichever way you choose, you want to give yourself plenty of time to secure the funds you need to succeed.
You don’t just “buy” a franchise. Franchising is a partnership between a franchisor and a franchisee. Ensuring that relationship is successful means there will be lots of interaction prior to signing a franchise agreement. Investigating the franchise through conversations with company executives, validating what you’ve learned with other franchisees and a visit to the home office for introductions are all part of the process.
Choosing a location is a process. Unless you are planning to open a home-based franchise, there will be myriad tasks to accomplish regarding the real estate needed to house your franchise. Working with the franchisor to select a good location, negotiate with a landlord, acquire necessary permits and work with contractors on the build-out can take time. It is one of the most intensive piece of the franchising process and critical in terms of your franchise’s success.
Making the decision to join the happiest people on earth as an entrepreneur is wonderful; it just doesn’t happen as quickly as you’ll decide what to have for dinner tonight. Preparing for your life as a small business owner in time for the new year means putting things in motion today.
Ready to take your first step to owning a business? I help entrepreneurs get started free of charge! Give me a call at 919.233.3534 or send me a note at [email protected].