08 Sep, 2017

Franchise World

So, you have a great business that would be really great for franchising. So, how do your get started with this franchise world? What would be the kind of advisors you need and do you have any idea where to find them? Would there be a good source to know where to start? Well, to start your way on the franchise world, one of the best starting points for researching such idea is the International Franchise Association (IFA). IFA is the industry trade association for franchising and had many resources that you could access in order to get started with the process. You could surely find the IFA and simply start searching by just going into their site. On the other hand, starting a franchise company is definitely not an easy and affordable process. There are actually many needs that you have to meet and few other things that though they aren’t legally required, they are still essential. The requirements actually include the following: • Legal- of course, when you are entering the franchise world, you need to make everything legal. You are needed to prepare a standard disclosure document for your franchise operation. This document is need of the entire companies and by the Federal Trade Commission. Whenever they want to offer franchises for sale, anywhere within the United States, they have to show this. Moreover, there are a number of individual states having registration requirements that your need to meet, if you are about to offer the franchises with those states. You need an effective as well as experienced franchise attorney. He will be the one to help you meet these legal requirements appropriately. • Accounting- you have to prepare the audited financial statements for the franchise company. It is certainly one of the disclosure requirements under the legal section above. This way, you could not be completely legal until you have your statements being audited. You only have to decide if you would like to set up another company to franchise your concept or if you also want to use the existing business entity that you are operating as your franchise company. You will be needing an experienced accountant to produce such audited statements and to advice you on the structure of your business enterprise. • Systems- both of the heart and soul of any successful franchise company is the system. You have to develop and completely document the systems in which a franchise will use in order to run their business in a successful way. You must create a successful training program that will surely teach a new franchisee for whatever they need to know in order to become a successful operator. Whenever you had complied with these requirements, you could successfully enter the franchise world and start your own business.