Every franchisor will have a set of criteria and personal qualities that they will evaluate prospective franchisees against to ensure that they find the “perfect fit” for their organisation. This franchisee buyer persona contains the full attributes of their ideal franchisee.
Although the franchise-buying process involves both franchisees and franchisors, and should be looked at as a two-way street, franchisors must find the right franchisee who will be capable of implementing the business model accurately.
They should also possess the personal characteristics to make their franchise unit successful. The reason behind this is that franchising is a long-term commitment and both parties must be confident in and committed to each other for mutual success.
In this article, we explore the personal qualities and the general criteria that franchisors look for in franchisees. Let’s get started.
Table of contents:
What qualities should a franchisor look for in a franchisee?
There are many personal characteristics of a franchisee that a franchisor will evaluate and this is to see if they will be a good fit for the franchise system.
Although they differ from franchisor to franchisor as each franchise concept is unique, the following are some of the most common personal attributes that a franchisor will look for.
- Have an interest in finance and business issues: franchising is a business and as such, it requires knowledge of finance and business concepts that the franchisee will be able to easily navigate through.
- The ability to think for yourself: while franchising requires that you follow a proven model, being able to think for yourself and apply entrepreneurial traits to the business will be essential.
- A positive attitude: all franchisors want good people representing their brand.
- Passion about the franchisor’s product/service: if you aren’t excited about the franchise concept you’re about to sign up for now, the chances are that you won’t get excited about it in the future. Having a belief in the franchisor’s product/service is also essential.
- People and communication skills: as a franchisee, you’ll be forging relationships with both your customers, the franchisor and fellow franchisees alongside your employees. Therefore, being a person who communicates effectively is a must.
- Desire for success: the franchisor evaluating you will need to see that you want their franchise to be successful. This necessarily means having the ambition and drive to make your franchise unit successful.
- Preparedness: your franchisor will want to see that you have done your homework before their initial interview and before Discovery Day. This means studying the market and industry, exploring the competition, preparing your business plan, etc. And if you don’t know where to start, check out our “How to Prepare For a Franchise Interview” guide.
- Be able to work independently: despite all the training and support the franchisor will provide you with, it will ultimately be up to you to run your business according to the franchisor’s system. Therefore, a level of independence is required.
- Work efficiently: there will be a lot of things involved in running your business and you need to know how to be well-organised and efficient to achieve maximum results within a limited amount of time and resources.
- Work as part of a team: when you launch your franchise business, you’ll be constantly working as part of a team. Both your own employees and the franchisor’s team. This means you need to be an effective team player, while also being able to motivate others and organise joint efforts to get the work done.
- Be comfortable with sales: sales to your customers is a big part of ensuring your business takes off. Therefore, you need to be prepared to sell and sell well and not shy away from this.
- Desire for constant improvement and growth: this is essential in a franchise system as you’ll need to reach and exceed targets to ensure you reap the rewards of your efforts.
- Be able to follow directions: as a franchisee, you’ll need to implement the franchisor’s business model successfully. This means constantly speaking to the franchisor’s business development team and implementing their advice and recommendations. Your willingness to follow the system is essential for greater business uniformity and to avoid diluting the brand’s status.
- Have physical and emotional resilience: this speaks to your deep seated personal characteristics. Some franchise businesses will require hard physical work, others may require you to be emotionally steady when facing tough situations. You need to have both to be active in your business. You also need to believe in yourself and your own efforts as well as be trustworthy.
- Have the emotional support of friends and family: franchisors will also want to know that you have a strong support system behind you as you embark on your entrepreneurial journey.
What are the general criteria for choosing a franchisee?
Of course, the above were just some of the soft skills and personal attributes that a franchisor is going to evaluate you against when they are looking for franchisees. There are also the so-called “hard skills” and requirements that will make you a good fit for the franchisor’s organisation. Here is a non-exhaustive list of these:
- A sound credit record and history
- Have adequate reserves of working capital (in the event it takes the business longer to succeed than anticipated)
- The ability to follow the franchise system and remain committed to it
- Possess business knowledge (at least to some extent) as well as industry knowledge
- Some type of managerial or leadership experience
- Have a good understanding of the franchise and how it operates
How to be a successful franchisee
If you ticked all the boxes above and you feel that you’re the right fit for your chosen franchise, there are still a couple of steps left in the process towards becoming a successful franchisee. Let’s explore some of these in more detail below:
- You need to be able to maximise the business’ profit potential
- Consistently ensure an excellent customer experience
- Feel comfortable in the role of a franchisee and engaging with all the team members
- Have sufficient amounts of capital available to ensure a successful business take-off
- Be prepared to put your heart into your business and give it your all (this may mean working long hours while your business grows)
- Remain enthusiastic about your business
- Wear many hats including recruiting your staff and managing and motivating them
- Continuously be in touch with your franchisor and other franchisees
- Be attention and detail-oriented with everything you do (for example, minimising costs while maximising sales, watching for shrinkage, etc.)
Final thoughts
When a franchisor is determining the numerous ways in terms of how to find franchisees, they’ve spent a lot of time researching the process and their ideal candidate.
As a prospective franchisee, you need to be able to show your franchisor that you possess both the soft and hard skills necessary to make the franchise concept a success in your area.
These skills will be beneficial to you both in terms of making a good impression on the franchisor at the outset and in making your future franchise business a complete success.
