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Selling to Hostile Franchise Buyers is Never a Good Idea

Written by: Sebastien Page

Article Overview: Many who have experience in running franchise companies will agree on one aspect : selling to aggressive franchise buyers is never a good idea.

Selling to Hostile Franchise Buyers is Never a Good Idea

Many who have experience in running franchise companies will agree on one aspect : selling to aggressive franchise buyers is never a good idea. The thing is, franchising isn’t simply about selling franchises, but rather about choosing the best candidates available to do the promotion. An applicant you should always steer clear from when choosing a buyer, is the one who is the most hostile and unpleasant. This is because you may just realize down the road that this hostility and unpleasantness has carried over to his or her dealings with customers leading to many problems and losses down the road, which could have been easily avoided.

These franchise buyers are characteristically selfish and go into any project with a discernible greed. They don’t necessarily care about you or your brand name and consequentially don’t really care about the both of you coming out of your project as winners. These are the buyers who don’t understand the essence of team work or a successful business relationship and will eventually do you more harm than good.

You’re better off searching for an intelligent, hardworking, franchise buyer who’s willing to be part of the team and this is the type who will eventually help you reach your goals and expand your business. Keep this in mind for the future.

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Article Tags: brand name, business relationship, franchise buyer, franchise buyers, franchise companies, franchises, greed, hostility, losses, successful business



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Re: Info for would be franchisers... - [quote="Sebastien":1d29sdv1]Like Franchise Times, Franchise Update is a very practical magazine. There is no blah blah, just straight facts that anyone in the franchise community can relate to. I just want to mention that all these magazines are NOT franchisee oriented. I mean these magazines are for franchise professionals. If you're looking to buy a franchise, you won't find much information in there. To answer your question, getting published in Franchise Times was fairly easy. I don't want to brag too much but I think I am known in the franchise industry. I was the marketing guy at Franchise.com for a few years before joining my new company, the World Franchising Network. So people know me and I have a very good relationship with Nancy Weingartner, the Managing Editor at Franchise Times. I was talking with her at the last Franchise Expo South in Miami and she mentioned she'd like me to be profiled. I was like "ok, sure!". I like this franchise executive profile thing in Franchise Times as it is rarely BS. People are usually really natural in there.[/quote:1d29sdv1] Thanks for the follow up Sebastien! And I can't say that I'm surprised that networking with the right people and managing your relationships with them properly are the keys to being published. I guess the old adage holds true of "it's not who you know, but who knows you" that's important.
how much for a franchise fee? - Dear Colleague There is no easy answer to this question. Things to consider: [list=] The sizeof the Franchise Clent base Expected Turnover Intellectual Property costs (recoup) Number of Franchises Number of employees Original Set up costs Franchise admin costs An example: A franchise that I was involved in setting was to a simple "lawn mowing/home repair" franchise. The Franchise included national/local advertising - preparation of client lists - general admin - central accounting etc The Franchise involved 300-500 clients - and an annual turnover of about $300,000 . The annual franchise fee was $30,000. Hope that this gives you some idea Take care Ian[/list]
Re: Franchise Surveys - Another good tool to researching a franchise is to speak with their existing franchisees. This contact information is included in most Franchise Disclosure Documents. In order to get a Franchise Disclosure Document or FDD as it is often referred to, you will have to complete a basic franchise application. The franchisor will then usually provide you with the FDD at that time. Included in that book of information is a list of the existing franchisees, the contract, the investment information etc... This information is required by Federal Law to be disclosed to your prior to making a purchase. So be sure to do your research and start with the Franchise Documents to get the initial information.
Re: Info for would be franchisers... - [quote="Sebastien":2gam0klq][quote="BuzzAroundBooks":2gam0klq]Like Franchise Times, Franchise Update is a very practical magazine. There is no blah blah, just straight facts that anyone in the franchise community can relate to.[/quote:2gam0klq][/quote:2gam0klq] That is really what I look for in any industry publication. We lead busy lives and when people fill their magazines with fluff, not only does it benefit no one, but it makes us truly appreciate those that don't. Thanks!


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