Franchising 101

  • Zees and Zors and Other Franchise Lingo The franchise community is made up of many different businesses from a variety of industries. While each industry has their own terms and vernacular, as a whole, the franchise community has some shared lingo. To help eliminate some of the confusion and help you make a more educated decision, here is ...
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  • Franchising’s Biggest Event of the Year: The IFA This year the International Franchising Association’s (IFA) Annual Convention is being held in Orlando, Florida February 8-11. This is franchising’s biggest event for business development and personal growth, and 2020 marks the trade association’s 60th convention. The IFA was formed 1960 with the ...
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  • Year Over Year Growth A franchise system’s growth rate can provide clues about its health and long-term viability . When you are considering investing in a franchise, look closely at the numbers and determine if the system is experiencing year-over-year growth, as well as whether the growth is sustainable. Understanding ...
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  • Growth Mindset: Becoming your Own Boss in 2020 With each new year comes the promise of new possibilities. Will 2020 be the year you finally make that leap into business ownership? It takes moving from a fixed mindset to a growth mindset to achieve this goal. A fixed mindset imposes self-limiting beliefs. You may have a variety of excuses that ...
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  • (X Times Multiple = Resale) and your Exit Strategy “Begin with the end in mind.”-Steven Covey When you are making the important decision about investing in a franchise , you should begin with the end in mind. Before going into business, you should have a long-term plan for ownership which includes an exit strategy for when you have reached the full ...
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  • Success Starts with Why Finding success in franchising means first asking yourself, “Why”? A strong clarity of purpose in entrepreneurship will lead to actions that are more effective and efficient in creating the result you desire. When you put the "why" before the "how" you position yourself for greater success. Your ...
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  • Validation Conversations with Franchisees There is a lot of important information contained in a Franchise Disclosure Document . While it is all important, one of the most useful segments is the list of existing franchisees. When examining a franchise to determine if it is the right one for you, there is no greater resource than the insight ...
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  • Understanding Franchise Rankings When investing in a franchise, choosing the one that best aligns with your personal and financial goals is of the utmost importance. Now, more than ever, there is so much information available to the franchise candidate. It’s important for you to have the ability to cut through the clutter and ...
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  • Training & Support In the franchise world, not all franchisors are created equal. This is particularly true when it comes to the level of training and support, they provide their franchisees. One of the biggest advantages to buying a franchise is leveraging the franchisor’s expertise and experience to better position ...
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  • ABC’s of Franchising:  Site Selection One of the most important business decisions you will make is choosing a location for your business. Location can directly impact profitability and can mean the difference between success or failure for your business. When researching business models, look closely at how a franchisor handles site ...
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  • ABC’s of Franchising: Strategies for Recruitment and Retention High value and long-term employees are vital to a business’ bottom line. Turnover is expensive and can lead to problems such as low morale and decreased productivity. Your effectiveness, or lack thereof, in this area could mean the difference between failure and success. Doug Porter, Sport Clips ...
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  • 7 Reasons Why a Haircutting Franchise is a Good Investment If you’re looking for a smart investment in a recession resistant industry, you may want to consider hair care. Here are seven reasons why: Consistent and growing demand. Haircutting is part of a $75 billion industry. Year after year the beauty industry has had above average gains compared to the ...
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  • Questions to Ask Before Buying a Franchise Franchising is a great path to business ownership for the discerning entrepreneur. By investing in a proven business model, the learning curve is shortened and the path to profitability is accelerated. However, this only works if you have chosen a business model that is the right fit. Asking the ...
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  • People. Product. Process. The Three Ps of Business The three Ps of business, people, product and process, is a concept that has been floating around for decades and has been used by countless organizations to improve and enhance their performance. While the iterations vary slightly, at its core, the three Ps are the fundamental building blocks for ...
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  • ABC’s of Franchising: Operations There are two items that often rise to the top when considering the most important value propositions delivered by top franchise systems – an ever-increasing brand awareness and a turnkey operating model. It’s important to evaluate the operations of a franchise system to ensure you receive the value ...
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  • Journey to Success Part 3: Signing to Grand Opening New Sport Clips Haircuts team leaders benefit from a comprehensive and robust support system right out of the gates, starting with finding an optimal site and continuing through the grand opening and beyond. Sport Clips is committed to its team leaders’ success and has created the infrastructure and ...
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  • ABC's of Franchising: National Advertising Strategies A franchise’s national advertising strategy is a critical component to its overall value proposition and should be examined when looking at a potential franchise opportunity. Strategically planned and well managed advertising initiatives have numerous benefits to a franchisee and therefore should be ...
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  • Journey to Success: Part 2 Sport Clips Discovery Process You may ask yourself, can you trust the process as you begin your due diligence into a Sport Clips Haircuts franchise opportunity? For more than 25 years, Sport Clips has been a leader in creating a discovery process characterized by education and transparency with the goal to help both the ...
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  • Journey To Success – Part 1: Top 10 Characteristics of a Successful Sport Clips Haircuts Team Leader You don’t need experience in the haircare industry to be a successful Sport Clips Haircuts team leader. In fact, we prefer you don’t! With more than 25 years of experience, our simple franchise business model has been tested and proven to work. We have found that for a business model to work, it ...
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  • Multi-Unit Franchise Owning multiple units of a franchise is not for everyone. It requires a higher investment upfront and can take longer to establish, but it can also mean larger gains in the long term. Multi-unit owners also benefit from greater stability as their success is not reliant on just one location. As you ...
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  • Learning Curve Starting a business is hard work. A lot of trial and error usually happens before a business becomes profitable. Mistakes cost money, so shortening the learning curve is ideal. By becoming part of a franchise system, you can significantly shorten this inevitable learning curve and reach your goals ...
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  • Keys to Franchisee Success If you have chosen a strong franchise business model, much of your success as a franchisee will have to do with what you put into your role. Here are some keys to franchisee success that can help you maximize your investment while helping you reach your personal and financial goals. The right fit : ...
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  • Joining a Franchise System Joining a franchise system has many advantages. Becoming part of a successful and viable business model means you don’t have to reinvent the wheel. The established framework is accompanied by comprehensive training and support from the franchisor, as well as a network of other franchisees. You also ...
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  • Initial Investment Initial investment is the amount of money required to start a business. It is a big determining factor for most people when deciding in which business to invest. Not all franchise systems are created equal and closely examining an offering’s initial investment information can help you make an ...
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  • Signs of a Healthy Franchise System Assessing the health of a franchise system is an important part of any due diligence process. Doing so will inform your decision and help to evaluate the risk of investing in a business model. When reviewing the health of a system, one should look at the system holistically, individually weighing ...
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  • ABC’s of Franchising: Goals “People with goals succeed because they know where they are going.” – Earl Nightingale If you are looking into franchise opportunities, chances are you are pursuing a goal. Maybe it’s a goal of being an entrepreneur, or perhaps it is to be your own boss, create greater work/life balance , or to ...
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  • The Franchise Disclosure Document A thorough review of the Franchise Disclosure Document (FDD) is a crucial step in the due diligence process when evaluating a franchisor. A typical FDD can be hundreds of pages long. While this may seem daunting, be sure to read the entire document. Maybe even consult a franchise lawyer, and make ...
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  • Experience What experience do I need to run a particular franchise? Should I have experience in the industry of the franchise I am considering? These are important questions to ask yourself when considering investing in a franchise. However, the answers are not always clear cut. People come into franchising ...
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  • Differentiation Differentiation is important to the success of any brand. In the crowded landscape of business, attracting the right customers is essential to your bottom line. When you are considering investing in a franchise model, consider how well that brand distinguishes itself from other concepts in the same ...
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  • Why is My Market Closed? At times, there is no availability in the preferred market for some potential Sport Clips Haircuts franchise candidates. Careful thought and consideration go into determining when and where to grow the brand, along with a strategy focused on responsible and sustainable growth . Priority is given to ...
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  • What a Franchisor's FDD tells you about Its Company Culture A company’s culture is a differentiator because it is something unique to the organization. When researching a brand to invest in, it is important to delve into the culture as it will give you an idea of what your relationship with the organization might look like. The shared set of values and norms ...
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  • Why are Sport Clips' Financial Requirements So High? We get asked this question a lot. Sport Clips Haircuts values transparency so we are happy to provide some background information about our process. We are very intentional about setting our franchisees up for success. Ninety-nine percent of our stores that were open for any period of time in the ...
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  • Franchise Buyer Awareness: Working with Franchise Brokers What you should know before working with a franchise broker There are more than 3,000 franchise opportunities available in the U.S. alone. Sorting through them all to find the right match can seem overwhelming, especially if you are not familiar with the franchise space in the beginning. For this ...
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  • Alignment The first step in making a successful franchise investment is to determine whether the business model is a good fit for you. This can be determined by looking for alignment in three key areas: your personal and financial goals , your skill set, and the franchise offering. If there is alignment in ...
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  • Deciphering Franchise Rankings The abundance of franchise rankings available in the industry can be a bit overwhelming. This is especially true for someone trying to use this information to help make the life-changing decision of deciding which franchise to invest in. So far this month, franchise rankings have been released by ...
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  • Part 2 Going Deeper in Validation: How Item 20 Insights Can Improve Your Sport Clips Validation Process Part 2 Going Deeper in Validation: How Item 20 Insights Can Improve Your Sport Clips Validation Process Buying a franchise is a big decision. It is important to make it an informed one. Knowing the right questions to ask is a good place to start when beginning any validation process. Franchise ...
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  • What To Expect When Attending Discovery Day Attending Discovery Day is an important step in making an informed decision about whether to invest in a franchise. The main purpose of these events is to provide validation and affirmation. Having done your due diligence up to this point, Discovery Day is a chance for you to see the entire ...
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  • Continuity Rate: One of the Most Important Numbers to Understand When Evaluating a Franchise Opportunity When considering investing in any franchise opportunity, the brand’s continuity rate should be a big factor in your decision. This metric is a key indicator as to the health of the franchise system and whether it is a system worth considering. While rapid growth can be a positive sign, having ...
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  • How the Sport Clips Discovery Process Helps Candidates Prepare for Success in Franchising One of the foundational elements to a solid franchise system lies in its franchisees. The franchisee selection process is an essential building block in that foundation. Having closed an average of fewer than two stores a year over the last six years, we have identified key characteristics that help ...
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  • Why Franchise? Opening a business takes a lot of hard work. Stepping out into ownership is a big responsibility that comes with a great deal of risk. But what if you didn’t have to do it alone? What if you could have a safety net? Investing in a franchise gives you the benefit of belonging to a larger ...
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  • Five Things Potential Franchisees Should Do Before Signing Due diligence is crucial when deciding to buy a franchise. No one knows that better than Pete Lindsey. Twenty-four years ago he began his career as a franchise owner. Today, he is Vice President of Franchising at Sport Clips Haircuts. From owning a single business to helping thousands of people ...
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  • Three Types of Franchise Ownership Buying a business franchise is one of the most trusted ways for you to venture into business for yourself. You have the backing of an established brand and an accompanying network of resources. A successful franchise model will provide you with well-documented systems, a strong support team, and a ...
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  • Franchise Rankings: A Consolidated Approach There are several high profile franchise rankings out there purporting to whittle down the thousands of business ownership opportunities down to a manageable “best franchise opportunities” list. Some focus on fast growing franchises or franchisee satisfaction, others on sustainability and brand ...
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