Pool Of Potential Franchisees Is Shrinking And Will Continue To Do So. How To Set Yourself Apart?
When the economic slump started post 9/11, the market was flooded with prospective franchisees looking forward to buy a franchise. But since that time, the job market has again opened up, but only for qualified candidates, especially middle management people. These kinds of people make the perfect franchisees; they have oodles of experience in sales, marketing, administrative and management arenas. What’s more, they have ample financial resource to strike it on their own. But with companies on a re-hiring mode, franchises are finding themselves competing with them for a pool of potential franchisees.
Another reason for the shrinking of the pool of potential franchisees is the tougher anti-immigration laws. Franchising has always been the immigrants’ hope of living the American dream. But the recent crackdown on alien citizens and tougher anti-immigration stands have dwindled this base of the franchise industry. Furthermore, some high-profile cases involving the franchisor and the franchisee have made the weather a little cloudy! So, if you are in the market to offer your franchise business for sale, you have to know the strategies of attracting the crème de la crème of the franchise society. Here are some tips on that:
• Do you know the biggest source of potential franchisees looking for starting a franchise? If you had thought it’s the Internet, then you are wrong! The biggest source is existing franchisee referrals! Yes, your successful franchisees can be your greatest assets in attracting new team members. Success of these people acts like a magnet to people who want to become as successful as them. So, encourage referrals by your existing franchisees by offering them incentives like cash rewards or all-expense paid trips.
• Make sure you generate enough brand-name awareness for your business. When people see the ads of your company and the success of the chains, they will be automatically interested in your franchise business for sale offers.
• Lead generating sites like www.brandexpansion.com is always a good source of reference as are competent franchise consultants.
• Have someone in your team whose main job will be to contact the candidates who showed interest in your company in the trade fairs, exhibitions and other programs. Make sure he or she knows how to separate the grain from the chaff, so that you can turn most of those inquiries into new franchisees signing franchise agreements with you.