Posted in Buying a franchise on June 17, 2011
Going to a franchise show (often called an expo) is one of the very best ways to get up close and personal with a wide range of franchisors and see what they’ve got to offer. This article explains a great way to get maximum value from your time at the franchise shows and to make sure that you come home with a great idea of the franchises to investigate in more depth.
Here’s the strategy in outline. You’ll need to do a little preparation before heading out to the show to make the day of your time worthwhile. Remember that going to this show is a business day out – take it seriously as your future may depend upon it.
Two brothers we spoke to in 2006 wanted to buy a Subway Franchise. After spending a day at a show wandering around without structure, they ended up buying a printing franchise instead! Two completely different types of business, one in retail, the other in B2B (business to business).
Their reason? Because the printing franchise (Minuteman Press) did great follow-up after the show. We think it was probably because Subway didn’t have to chase, they were popular enough to let eager buyers come to them. Help yourself to buy the right franchise by following this guide to getting the most out of a franchise show…
Step One – Create Your Key Questions For Franchisors
You”re just in the initial stages of selection here, but a few great questions to help you narrow down your choices might include:
1. How much does the franchise cost?
2. What are the attributes of a successful franchisee?
3. How many people who invest in the franchise are still with it after five years?
4. Most franchise agreements have a fixed term – how many franchisees drop out after their first period?
5. What”s are the total revenues and net profit for average franchisees?
6. How long does it typically take to get to this level of operation?
7. How many fail to make it to this level and operate below it?
These seven questions are a great basis for you to start your franchise discovery process – add a few others that spring to mind as being relevent to your situation. The whole point of going to the show is to see as many franchises as possible and to get a quick overview of the ones that interest you. So let”s move now to getting the most out of the show itself.
Step Two – Make A List Of Franchises That Interest You
Before going to the show, make up a list of all the franchises that have caught your attention and that you”d like to know a little more about. The trick here is breadth – we don”t want to start getting into detailed serious discussions with any single franchisor just yet, the whole point of the show in The Franchise Opportunity Guru strategy is to help you create a list of possible contenders.
Your aim is to come away from the show with up to 10 or even 12 different franchises to explore in more depth. You”ll want at least three or four. So before you go, see if you can get a list of attendees or a show guide in which you can highlight the companies you”ll want to investigate.
Step Three – At The Franchise Show
Spend your first 30-60 minutes racing around to see who is there. Just march up and down the aisles to see where your “hot pick” franchises are and to choose your priorities. On the day, some will seem more appealing than others – that’s your gut instinct and you’re encouraged to trust it!
Once you’ve zoomed around and seen what’s on offer, start your franchise research in earnest. Give each franchisor between 5 and 15 minutes to answer your questions and make sure you write down your answers carefully. Take a bag of literature away with you from each franchisor and you’ll quickly get yourself a selection of great franchise opportunities from which to choose.
We think this guide gives you the best chance to get real value from a trip to the franchise show. Good luck in your search, and make sure you’ve read our free report, The 7 Myths Of Franchising, before you go. Get it by signing up with your name and email address in the top right corner of this page.