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If you’re interested in becoming a franchisee, or are currently one, I’m willing to wager you want to be as profitable as humanely possible.
Let’s fast forward a bit, to a time when you’re ready for more. More what? More growth. More profit. Or maybe, you're already there and don't have to imagine.
Here are three ways to get more.
The First: Expand Your Space
Let's use a sign making business as a example.
Typically, a sign business has a counter in the front of their store and a sign printing and production setup in the back.
If your new business development techniques are working well, it means you’re growing your business. That’s great! But what happens when orders start stacking up?
Do you add another sign maker? You can. But he or she will need a space to work. To design and produce new signs. And since your storage is becoming tighter and tighter (due to your booming business), there’s only two things you can do to keep up with all of your new business.
You can either find a different, larger commercial space to lease, or you can expand your current space.
Hopefully, you (and your franchisor) have thought ahead, and you leased a space that has expansion capabilities. If that’s the case, problem solved. The opportunity to take your franchise to the next level is officially within reach.
On the other hand, if you need to find a new space, (which will require physically moving and setting your shop up elsewhere), the delays will add up. That means the profits you were hoping to have won’t be coming in at the rate you wanted anytime soon.
The Second: Add More of These to Get to the Next Level
Obviously, adding more franchise units and becoming a multi-unit franchise owner is a terrific (and proven) way to increase profits.
However, you generally need to plan ahead for it to happen.
But in the event you don’t go through a formal future planning exercise like the one I linked to above, there is a way for you to future plan your franchise business. You sign a multi-unit franchise agreement upfront.
While doing so is more of a financial and psychological commitment than signing a single unit agreement, the potential monetary awards may make it worth it.
If you’re worried about a commitment like that, there is a way to lessen your worry a bit. Just contact a few multi-unit franchisees who own the franchise you’re interested in. Ask them how things are working out. Then ask them if they feel the commitment they made was worth it, financially.
If you do it right, which includes securing great locations and keeping your expenses in check, owning multiple franchise units is a great way to get your business to the next level.
The Third: Put a Tiger in Your Tank!
What I mean by a “tiger,” is someone who’s friendly, outgoing, positive, and energetic. Someone to represent and talk up your business in your local area.
If you’re up for it, that someone can be you.
As a matter of fact, it should be you.
Who better to talk about your business? Who better to share all the great products and/or services your franchise business offers to the local community?
But what if you’re more of an introvert? Specifically, what if you’re somebody who truly despises schmoozing and the handshakes with sometimes cold and clammy...hands that are always part of networking? What can you do?
Hire a business development person. Someone you can share your story with. A person who can then share it enthusiastically with others in your community. Daily.
Provided it’s done right, your business will benefit greatly because your franchise will be talked about more and visited more.
That means your revenue will increase. As will your profits.
So decide who the tiger is going to be, because having one in your business can help take it to the next level in profitability.
And that’s what you want, right?
The Franchise King®, Joel Libava, is a top franchise expert. He’s written over 2,000 different articles on franchise ownership and personally consults with people who are looking to buy a profitable franchise. Go here to find out how The Franchise King® can help you become your own boss.