Franchising is a Strong Choice for a Pandemic Business World

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Though it seems counter-intuitive, the pandemic has created a good time to consider buying a franchise.

As Mark Siebert, CEO of the iFranchise Group, has asserted: “Franchise companies better be prepared for the coming boom in franchise sales, or they are likely going to miss out on a once-in-a-lifetime opportunity.” Siebert said, in a recent editorial, “When certain factors are in place, franchise sales tend to climb.” He describes those three primary drivers as:

1. High levels of unemployment at the top end of the salary market;
2. Ready access to debt capital at historically low interest rates; and
3. After more than a decade of growth since the last recession, many Americans have access to substantial savings in the form of home equity, retirement accounts, and personal savings.

The unfortunate truth is the current pandemic has put more people out of work in a short time than ever before in our nation’s history. Many of those people are highly competent in their industries or have excellent business skills, creating a well-qualified labor pool of prospective franchisees or potential employees for those prospective franchisees.

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What are the advantages of franchise ownership right now for prospective franchisees?

Together apart. This phrase suits franchise collaboration just as it refers to our current pandemic protocols. With a franchise model, you can thrive under an established brand and collaborate with other franchise owners.

Franchise organizations have the expertise in place to support you as a new franchisee. They assist with your franchise planning, launch, training, operations, and growth opportunities. Often, they have proprietary technology and marketing processes specific to the operation you're pursuing. And all this means you can make a new business more successful faster than if you did it on your own.

Even during a tough economy, a number of franchises are thriving while new independent businesses are hesitant about jumping in. With a franchise, you run your own business, but you benefit from the shared benefits of a supportive organization with things like:

• Training to ensure consistent business operations. Consistent delivery of goods and services strengthens your reputation and customer return rates.
• Pre-opening support. Franchisors assist with site selection, capital resources, training, accounting, software, and other operational needs.
• Post-launch support. Additional assistance is available to expand your operations, streamline for efficiency, and coach you on personnel or service changes.
• Being part of a bigger picture. A customer comes to know you and your fellow franchisees for consistent service, products, and brand awareness. Designs, logos, and other recognizable factors are yours to use.
• Lower risk. With more experienced leaders on your team, your chance of individual success is greater.
• Group advertising opportunities. Expertly designed promotional opportunities are harder for small businesses to create and afford. With a large organization, you benefit from consistent, professional designs to promote your franchise.
• Personal growth. Owning your own business whose model is already proven allows you to learn and expand your capabilities with franchisor support.

Whether you start fresh or buy out another franchisee, your chances of success are much better with a franchise than if you were to go it alone. Franchising contributes greatly to the US economy while offering a proven business model.

As you decide your next career steps during this time, know that franchising lets you make your own daily decisions with guidance from a franchisor that been through it before when you need it.

The economic challenges presented by the pandemic could very well make franchising a wise choice for your entrepreneurial goals.

Anne Daniells is a co-owner of Enterprising Solutions, a professional services firm specializing in corporate communication and financial improvement for businesses where she shares decades of corporate and entrepreneurial experience—including franchise ownership—in her writings on business culture. She has authored hundreds of articles for publications including AllBusiness.com, TweakYourBiz.com, and MSN.com. Reach out via her website for more on where corporate culture, communication, and human architecture collide.