If you want to launch yourself into the business sphere, then you may want to consider buying into a cleaning franchise. This would enable you to begin your business journey with a proven business model, and allow you to benefit from the established name and training of the parent franchise. It’s a great business opportunity for people who don’t have a lot of experience running a business or don’t want too much risk. In fact, it’s also a great business opportunity for seasoned business operators too, as there is a strong and healthy demand for cleaning services in the marketplace. No matter how bad the economy gets, things still get dirty! If this sounds like it could be right for you, then here’s a few things to think about before you get started.
Work Out Your Budget
The first thing to do is decide exactly how much you’ve got to spend. This is the biggest decision along the way, much bigger than any decisions you’ll make later on when you’re running your cleaning franchise. Although it may be tempting to buy the biggest and best cleaning business you can find, it’s also important to maintain a healthy debt to equity ratio; you don’t want to be caught short if you hit a few speed bumps along the way. Take some time and get the finances all worked out. This will help you decide which franchise is best for you later.
Shop Around For Franchises
Next, you’ll have to look for a good franchise. There are several big name cleaning companies that offer franchise opportunities. While you’re shopping, look online to see what people are saying about each company. You can do a little research by looking at review sites on the web. These will give you an idea of how well this company supports its franchisees. But beware – some sites have paid reviews from the companies themselves, and competitors also have a tendency to flame each other under the guise of customers or disgruntled franchisees. Maintain a healthy degree of skepticism during your research.
Consider Your Needs and Constraints
At this stage, you should also think about your goals, and any limiting factors. This is just as important as the information you’ll find on each company. For example: How involved will you be in the day-to-day management? What are your long-term plans? How much risk are you willing to handle? Do you have the skills it takes to run the franchise? The answers to these questions will help you decide which is best for you.
Make A Business Plan
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Next, create a business plan that you’ll use to submit with your application. You may wish to look about your proposed staffing, your customers, your marketing plans, your competitors, and your projected financial statements. This part of the process can take a bit of work, but if you don’t have the motivation to complete a business plan, then perhaps you should reconsider your decision to get into business. Remember that bigger isn’t necessarily better with business plans. Don’t throw everything into there just to fill out the word count and make it look more thorough. Quality should reign supreme.
The Franchise Disclosure Document
If the franchiser is happy with your application, they’ll offer you a Franchise Disclosure Document (FDD) to review. This document should provide you with all of the information you need to know about the particular franchise in question. It also includes all necessary legal documents. All of this is binding, so go over it carefully. If everything seems to be in order, then it’s time for you to seek the help of your advisors. Seek legal and accountancy advice from practitioners with franchising experience. Remember that buying a franchise business requires more than just monetary investment. It will also place big demands on your time, so give the decision the due respect it deserves.
If everything is in order, and you’ve got your heart set on this business, then you’re ready to get started. You can accept their offer, make the payment, and start growing your business. This is where the challenge really begins.
This article was written by United Home Services, one of Australia’s largest home cleaning franchises.