GTB 737 banner Yudala banner

Buying a Franchise: When you need to worry about location

By News Express on 16/01/2017

Share on facebook Yahoo mail icon Gmail icon

Views: 1,117


Let me start off by sharing my view on “location, location, location.”

While it is true that securing a great franchise location can be critical to your success, it’s only one of many things that can contribute to your ultimate success as a franchise owner.

Most of the people I work with me, who use my franchise ownership advisory services, bring up “location” pretty early on in our discussions. They are really focused on getting a good location for their yet-to-be-chosen franchise business.

While the importance of choosing and ultimately having a good location can and sometimes does dictate the success of a franchise business, it’s a massive waste of time for my clients (and you) to allow location-related thoughts to occupy a lot of your time as you try to find that perfect franchise opportunity.

Tip: Don’t obsess, worry, or even think about location until you decide on a specific franchise and you are towards the end of your research process.

Should I trust the franchisor to pick a good franchise location? In a word: Yes! Of course.

Why wouldn’t you trust the franchisor to help you secure a good great location for your franchise business?

Don’t you think they want you to succeed, Stop with the paranoia. Don’t listen to people that have "heard” of franchisors that have purposely picked bad locations for their franchisees.

Here’s why it behooves on you to ignore petty comments like that:

The more you make, the more the franchisor makes –

If you become the owner of a franchise business, you’ll be sending in a monthly royalty cheques to the franchisor. It could be 4 to 10 percent of gross sales. So, if your franchise does 40 million Naira in annual sales, and the royalty is 6 percent, the franchisor gets 2.4 million Naira from you. And, they get 6% from every other franchisee, too. Do the math. The franchisor wants you to succeed. They want you to send them big, fat, cheques – every month, for the life of your franchise agreement, which is typically 10 years.

They want your location to be a winning one. And, if they want to be a successful franchisor, they need your franchise location to be a successful one. They need you to be successful.

So, you will handle calls from others (like this potential franchise owner) who are interested in the franchise just like this:

Choose, research and purchase

Do it in order. Make sure you’re a fit for franchising; choose a few opportunities to explore. Explore them. Learn about them. Do great franchise research. Write a formal business plan. Apply for a franchise loan. Make your decision. Find a great location. Open for business.

I hope you would have enjoyed the various perspectives of this lesson to consider when choosing franchising as a business model. For further details you can contact me for business advisory services and training, send me a message via WhatsApp or SMS.

•Lawrence Nwaodu is a small business expert and enterprise consultant, trained in the United Kingdom and the Netherlands, with an MBA in Entrepreneurship from The Management School, University of Liverpool, United Kingdom, and MSc in Finance and Financial Management Services from Rotterdam School of Management, Erasmus University Netherlands. Mr. Nwaodu is the Lead Consultant at IDEAS Exchange Consulting, Lagos. He can be reached via nwaodu.lawrence@hotmail.co.uk (07066375847).

Source News Express

Posted 16/01/2017 9:21:15 PM

 

Share on facebook Yahoo mail icon Gmail icon


 

CLASSIFIED ADS

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

 

You may also like...
CLO decries state of human rights in Nigeria,...

Anambra joins league of oil producing states July...

NiMET predicts sunshine and clouds today, with chances...

Ex-OAU VC remanded in custody for alleged fraud...

Assistant Police Commissioner nabbed with N2.7m bribe

UN lied about the number of illicit weapons...

Carmakers’ profit under threat as China toughens emissions...

Nigeria takes on oil giants over alleged illegal...

RIGHTSView: A CASE FOR A LIBERAL FIREARMS' LICENCE...

FG deploys special military squad to Kogi to...

Breaking News: Save Enugu Group tracks down Gov....

Angry Ijaw youths occupy Nigerian Content Board headquarters...

 

Latest News 1,272 lawyers fail Nigerian Law School exam Director (Grade Level 16 Officer) commits suicide Gunmen kill 12 soldiers in daring attack on their base JAMB unleashes CCTV on exam cheats Bitcoin hits fresh all-time high of $6,000 Bayelsa Govt. endores Operation Crocodile Smile II, Army free medical service Buhari charges African leaders to speak with one voice Man City move 5 points clear at the top of EPL, Man Utd lose, Chelsea rally Militants slaughter Egyptian security forces in desert shoot-out Hong Kong Stock Exchange closes trading floor Join digitisation revolution or lose out, PR expert warns media players FG gets 14 days ultimatum to publish names of looters

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (287,761 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (270,438 views) Shameless Genevieve Nnaji exposes breasts in public (218,345 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (183,759 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (179,492 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (162,191 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (140,576 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (128,731 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (123,652 views) Lagos plane crash: Journalist releases victims’ names (114,189 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (112,164 views) APC cries foul as PDP’s Fayose takes early lead in Ekiti governorship election (104,533 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (30) Business (2,731) Business Verdict (24) Columnists (757) Complaints & Requests (93) Enterprise & Opportunities (183) Entertainment (396) Features (497) Global Business Monitor (187) International (1,584) Interviews (134) Live Commentary (28) Love Matters (79) News (29,509) Opinion (826) Pidgin (8) Politics (3,988) Religion (645) Sports (1,339) Stock Watch (23) AMA & Al Jazeera Global Update

 

UBA mobile app

CBN Words on marble

 

 

#MonkeyPox outbreak

 

APO Group Partner

 

CLASSIFIED ADS

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement



 

 

CLASSIFIED ADS

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!