Rick Bisio speaks to students about location, demographics and the prosperity of a franchise in different market areas

Orlando, FL - Current economic conditions are causing many people to lose their jobs or suffer cut-backs, resulting in lower pay and/or fewer work hours.  Many are forced to work two jobs if they are fortunate to find additional work.  Others are going into business for themselves.  Rick Bisio, franchise consultant and author of the book, "The Educated Franchisee," is in the right business today.  Rick educates entrepreneurs to make good decisions when researching franchises and becoming franchisees.

Rick spoke at a recent seminar to provide franchise information to students.  The topic was "location, location, location."  Rick said, "There are numerous reasons a franchise that is prosperous in one town will do poorly in another.  Even if the franchisee is doing everything right, the business can be affected by territory size, population density or demographics."

Rick advised his students to compare the territories and to question other franchisees who are in comparable areas as to population density and demographics to see how successful they are.  "When you analyze the demographics you should be considering a number of factors including gender, race, age, income, education, home ownership, home values and employment status.  Does your franchise appeal to the people in your market area?"

As the lecture concluded, Rick said, "Research your market and be sure you are in one that is expected to remain the same or improve over the next 10 years; 10 years is a common franchise contract term."

Rick has been recognized as one of the premier franchise consultants in the US and has mentored thousands of individuals on making the right decisions about franchise ownership.  Visit http://www.educatedfranchisee.com for a free newsletter and more information.

Contact:

Rick Bisio
FranChoice Consulting
(941) 778 4660 PH
(941) 778 4670 FX
(800) 708 0040 Toll Free
rbisio@franchoice.com
http://www.educatedfranchisee.com

It is crucial, as part of your franchise education, to compare your franchise territory to other territories in the system. Here are some specific areas to investigate.

Total population numbers

The majority of franchises are sold by territory. The franchisor sets the territory size required to support that particular franchise. Careful franchisors will not knowingly sell a territory that doesn't have the population numbers to support their franchise. But they will sell territories that match their minimum criteria. If you are buying one of those marginal territories, you want to discover that up front, and you want to determine if the territory size is expected to increase or decrease in the foreseeable future. Ask the franchisor for the names of franchisees whose territories are similar in size to the territory you are considering. Call them and find out how successful they are.

Population density

Ask the franchisor for the normal radius for attracting customers. Is it 2 miles? 10 miles? Then ask for the names of franchisees who have population densities comparable to the densities in the territory you are looking at. Call them to find out how successful they are.

Demographics

A futurist named Andrew Zolli summarized the importance of demographics:

"You can't understand the future without demographics. The composition of a society - whether its citizens are old or young, prosperous or declining, rural or urban - shapes every aspect of civic life, from politics, economics, and culture to the kinds of products, services, and businesses that are likely to succeed or fail. Demographics isn't destiny, but it's close."¹

When you study the demographics of your territory, you will be considering a number of factors, possibly including gender, race, age, income, disabilities, education, home ownership, number and value of single-family homes, and employment status.Will your franchise attract  a broad demographic or does it have specific appeal? If the franchise serves a market segment - say students, wealthy homeowners, or small business owners, for example, does the territory you're considering have enough of those customers? Is their average income and education level in-line with the franchises typical customer's income and education? Ask the franchisor which territories are similar in terms of demographics. Call them and find out how successful they are.

Perform Your Own Research to Get the Best Franchise Information

In addition to speaking with existing franchisees, do your own research on current and projected population totals, population density, and demographics, including economic trends. You should be able to find information on line. Visit your local reference librarian to see what s/he has available. Additionally, your state may offer free services.

Don't do the mistake of founding a franchise purchasing decision on your level of enthusiasm or on what you personally think will work. Make sure you have a market, and that the market is expected to stay the same or improve over the next 10 years (10 years is a common franchise contract term).

If you are ready to work hard, becoming a franchise owner can help you reach your financial and lifestyle goals. Just make certain to eliminate as much risk as possible. Do your research before you sign on the dotted line.

¹ Andrew Zolli, "Demographics: The Population Hourglass," Fast Company Magazine, March, 2006.

Sign up for our FREE monthly newsletter at - http://educatedfranchisee.com/signup.aspx

The Educated Franchisee is dedicated to franchise education through the sharing of franchise information.  Our objective is -

‘To create educated franchise buyers that have clearly defined objectives and are able to recognize the right, or wrong, franchise when they see it.  An educated franchise buyer will move into the franchisee role with their expectations properly set and will have a heightened potential for success within the franchise system creating a win/win for all involved.

To get more franchise information about how to stack the deck in your favor -

Visit our website at www.educatedfranchisee.com or

Purchase our franchise book - The Educated Franchisee by Rick Bisio, Franchise Consultant or

Contact author directly at rbisio@educatedfranchisee.com or call 941 778 4660.

The marketing power of a franchise system provides the same advantages as a business with a dozen locations in a market.

St. Petersburg, FL - Rick Bisio is a well-respected franchise consultant and author of the franchise training book, "The Educated Franchisee."  Rick speaks at seminars and has trained thousands of entrepreneurs how to make good decisions in the franchise business.

At a recent meeting for aspiring entrepreneurs, Rick gave a lecture about franchises and marketing.  Rick said, "One of the several advantages of joining a franchise is the marketing that is made possible when you're part of a large organization.  The franchisor is a key resource that works to your advantage because he can negotiate national pricing agreements and pass the savings on to the local franchisees."

Rick told the group what questions to ask when considering purchasing a franchise.  "Ask how much marketing the franchisor will execute in your area and how the marketing dollars are allocated and the type of marketing that is done for your area.  Understand who is responsible for different components of marketing and how much of the cost is included in the mandatory marketing contribution.  Most importantly, find out the opinions of other franchisees; are they happy with the marketing and does it appear to be effective?"

Rick Bisio has consistently been recognized as one of the premier franchise consultants in the United States and has successfully worked with thousands of individuals helping them to make the right decision regarding franchise ownership.  To learn more about how to identify a great franchise businesses and stacking the deck in your favor, go to http://www.educatedfranchisee.com 

Contact:

Rick Bisio
FranChoice Consulting
(941) 778 4660 PH
(941) 778 4670 FX
(800) 708 0040 Toll Free
rbisio@franchoice.com
http://www.educatedfranchisee.com

This Press Release was submitted by Right Now Marketing Group, LLC

One of the several benefits of joining a franchise is the marketing that is made possible when you're part of a large organization. As I say in Chapter 6 of my franchise book, The Educated Franchisee, the marketing power of a franchise system delivers the same advantages as a business with a dozen locations in a market. The franchisor is significantly more efficient than any independent franchisee can be. Professional marketing materials are expensive and valuable, so having materials provided by the franchisor is a key resource that works to your advantage.

The marketing should drive clients to the franchisees without having to hire and manage an outside marketing firm. A uniform marketing message helps establish the franchise brand across the marketing area. Because all the franchisees pay into the marketing fund, the franchisor can hire a strong marketing firm and afford larger media buys that an individual franchisee probably could not afford. And because a large franchisor has enough marketing volume, the franchisor can negotiate national pricing agreements and deliver saving to the local franchisees.

So Why is the National Marketing Program often Problematic?

The marketing program is usually an area of difference of opinion between franchisors and franchisees. Occasionally, the conflict is warranted. Many times, it's not.

Look at this.

·     Marketing programs are funded by mandatory contributions made by franchisees. Some franchisors demand a fixed amount; others charge a percentage founded on the gross sales of the unit, but either way, it's required of all franchisees.

·     Although we all see advertisements, direct mail pieces, etc., most of us actually have no idea what goes into creating, executing and monitoring these programs.  . But we think we do.

·     It's always challenging to spend money on something you have little or no control over. Perhaps especially hard for the entrepreneurial individuals who gravitate to franchise ownership.

·     It's easy to second guess, and consider the expense, without seeing the absolute necessity of a strong franchise marketing program.

That said, marketing constitutes an art as well as a science. Some programs are efficient and some are not, so you do want to do your best to evaluate the program and make sure it will work before you sign any franchise documents!

Here are some questions to ask the franchisor:

·     How much marketing will the franchisor carry in your market? How are marketing dollars allocated? Ad dollars go a lot further in rural Wisconsin than they do in New York City.

·     Is your market a typical market? If the majority of the materials are targeted to a certain demographic, and your market is constituted of a different demographic, how will that be handled?

·     Are franchisees responsible for any marketing, and if so, what components? Is the cost of those components included in the mandatory marketing contribution?

·     What percentage of the marketing budget is spent on image advertising vs. call to action advertising?

·     What elements of the program are most effective?

·     How is the marketing program evaluated, and how often? Are results shared with franchisees?

·     Is the marketing program fully transparent? Will the franchisor provide you with an annual accounting of both the income and the expenses of the national advertising program?

·     Ask the franchisor if s/he will send you copies of their ads and promotional pieces during your franchise investigation. Most franchisors will send items that are in the public domain.

Here are some questions to ask the franchisees:

·     Do they keep track of how their customers discover them? If so, what percentage is from the marketing program (vs. word of mouth, driving by, etc.)?

·     Which tactics are the most effective? Electronic marketing? Television ads? Direct mail?

·     What things - if any - would the franchisee modify about the marketing program?

The bottom line.

Maybe the easiest measure is this: If you talk to a number of franchisees, and most are unhappy with the marketing program (for reasons other than cost), you will probably be unhappy as well.

Conversely, if most franchisees find the program is working (even if they consider it costs too much) it is probably an effective franchise marketing program that will be an important factor in your future success!

Sign up for our FREE monthly newsletter at - http://educatedfranchisee.com/signup.aspx

The Educated Franchisee is dedicated to franchise education through the sharing of franchise information.  Our objective is -

‘To create educated franchise buyers that have clearly defined objectives and are able to recognize the right, or wrong, franchise when they see it.  An educated franchise buyer will move into the franchisee role with their expectations properly set and will have a heightened potential for success within the franchise system creating a win/win for all involved.

To get more franchise information about how to stack the deck in your favor -

Visit our website at www.educatedfranchisee.com or

Purchase our franchise book - The Educated Franchisee by Rick Bisio, Franchise Consultant or

Contact author directly at rbisio@educatedfranchisee.com or call 941 778 4660.

"Buying an existing franchise will give you a solid franchise education," said Rick Bisio as he shared tips and information about studying an existing franchise

Tampa, Fl - Rick Bisio, franchise consultant, spoke to aspiring entrepreneurs at a meeting held in Tampa, Florida.  He discussed franchising as he focused on researching and purchasing existing franchises.  The first tip Rick gave the group was, "Be discreet; most sellers will not broadcast that the business is for sale.  This is positive for you and for the seller.  Selling a business takes time and it is in everyone's best interest if the employees and customers do not spend time concerned about "what ifs."

Rick explained his system for researching a franchise; study the franchisor, meet the owner, call other franchisees, explore external changes, learn about the employees and examine the physical plant. 

"It is important that you study the franchisor, as this is the person you will be signing a long-term contract with, not the seller," Rick said.  "If you are satisfied that this franchise will conform to your skill set and fulfill your financial and lifestyle needs, then it is time to meet with the owner.  Find out why he/she wants to sell and ask to see the history of the franchise's financial performance.  The seller should be happy to supply balance sheets, income statements, tax returns and other financial statements."

Rick recommends calling other franchisees in the business to learn more about the possible downsides, as it is unlikely that the seller will readily disclose this information.  "You must execute your due diligence to discover if there are internal or external problems that will make the business undesirable.  Visit the area Town Hall and inquire if any large projects are slated for the area where the franchise is placed.  These types of projects can be positive or negative; it is helpful to know what is happening in the area."

If one is happy with all they have found out at this point, and they are seriously considering purchasing the franchise, Rick added some final advice, "Find out about the employees, their salaries, the hours they work, their skills and the rate of employee turnover.  Ask if there are any employment agreements or understandings, salary disputes, etc...  Examine the physical plant.  Look into the location and equipment, the status and terms of the lease, the temperament and availability of the landlord, and the value, age and condition of all equipment and vehicles."

The group of young entrepreneurs was quite satisfied with the information and advice provided by Rick Bisio, as they gave a hearty applause after his speech.  They left with a good understanding that to guarantee success in purchasing a franchise, they must do good research.  They learned the importance of making sure they will like the business model and franchise management team, they understand the financials and are aware of the surrounding community. 

Rick Bisio of FranChoice Consulting is the author of the book, The Educated Franchisee.    To learn more about how to identify a great franchise businesses and stacking the deck in your favor, go to http://www.educatedfranchisee.com  or buy the book - The Educated Franchisee - on Amazon.com.  Rick's books and articles cover everything you need to know about buying a franchise, owning a franchise, franchising skills and requirements, finding the right franchise, recognizing great business opportunities, starting and building your own business and more about business franchises.

ying an existing franchise will give you a solid franchise education! Here is a primer on how to go about studying an existing franchise:

1.   Be discreet. Most sellers will not broadcast that the business is for sale. This is positive for you, and for the seller. Selling a business requires time, and it is in everyone's best interest that employees and customers don't spend time concerned about "what ifs."

2.   Study the franchisor.  Do this precisely as you would if you were interested in buying a new franchise. Do this first - before spending time looking into the existing franchise unit. Recall, you will be signing a multi-year agreement with the franchisor, not the seller. You want to like the business and trust that you and the franchisor will work well together. See chapters 10-12 of the franchise book The Educated Franchisee for particular steps to take in assessing the franchise opportunity.

3.   Meet the Owner. Once you are satisfied that the franchise conforms to your skill set and can fulfill your financial and lifestyle needs, make an appointment with the owner of the franchise unit you are looking at. You will want to collect a lot of franchise information, including why s/he wants to sell, and you'll want to study the history of the franchise's financial performance. The seller should supply balance sheets, income statements, tax returns and other financial statements. Check them with the franchisor to determine how they match up with other franchisees' figures. Hire an accountant knowledgeable with this type of business who will look over the figures as well. This information will be decisive to your decision and will obviously be a crucial factor in arriving at the price you will offer.

4.   Call Other Franchisees. It is unlikely the selling franchise owner will tell you the downsides of the business. You will have to execute your due diligence to discover if there are internal or external problems that make the business undesirable. Talk to other franchisees to gain a feeling pertaining their level of success and then use what you have learned to the local franchise you are looking at purchasing.

5.   Explore External Changes. You might also want to pay a visit to Town Hall and inquire if any large projects are slated for the area where the franchise is placed.  These types of projects can be positive or negative.  You want to recognize what is happening in the area where the business will be and be at ease that any changes that may take place.

6.   Find out About the Employees. If you are pleased with the answers you get to the above questions, move on to questions about employees. What are their salaries? What hours do they work? Are they skilled? Are they likely to stay on? Are there any employment agreement* or understandings, salary disputes, etc. outstanding?

7.   Examine the Physical Plant. If things are going well, look into location and equipment, which will further help you put a value on the business. You need to know the status and terms of the lease, the temperament and availability of the landlord, and the value, age and shape of all equipment and vehicles.

To guarantee purchasing an existing franchise will be successful, you must do your research. Make certain you like the business model and the franchise management team. Make certain you'll like what you'll do each day. Understand the financials. Use experts to help you in your evaluation. Dig deep for information within the company and within the community. And remember that purchasing a business is a negotiation. Make certain the price is fair and that you own the skills to make the business a great success.

Sign up for our FREE monthly newsletter at - http://educatedfranchisee.com/signup.aspx

The Educated Franchisee is dedicated to franchise education through the sharing of franchise information.  Our objective is -

‘To create educated franchise buyers that have clearly defined objectives and are able to recognize the right, or wrong, franchise when they see it.  An educated franchise buyer will move into the franchisee role with their expectations properly set and will have a heightened potential for success within the franchise system creating a win/win for all involved.

To get more franchise information about how to stack the deck in your favor -

Visit our website at www.educatedfranchisee.com or

Purchase our franchise book - The Educated Franchisee by Rick Bisio, Franchise Consultant or

Contact author directly at rbisio@educatedfranchisee.com or call 941 778 4660.

Some franchise candidates wish to gain their mark by starting a franchise business from scratch while others prefer to skip the startup and purchase an up-and-running franchise business

Miami, FL --  In today's down economy, with high unemployment, many people are finding themselves out of work and unable to afford the risk involved in starting a new business.  Rick Bisio recently spoke to a group of young entrepreneurs in Miami who were considering going into the franchise business.  Rick discussed the advantages and disadvantages of buying an existing franchise unit.

Rick Bisio introduced himself to the group and began, "Buying a franchise is less risky than new business start-ups.  Today, I'm going to talk about buying a franchise resale.  Finding an existing franchise that is part of an established franchise system, one that fulfills your needs and matches your skills in an area where you want to live can take a lot of time and it generally requires a larger investment.  If you choose this path to business ownership, it is a good idea to hire a business advisor to help determine the value of the business.  Taking over an existing business is like climbing on a moving train; you're already going down the tracks; your task is to figure out how to operate the train before it derails."

Rick went on to discuss the advantages to buying a franchise resale.  He explained that a successful existing business already has a customer base and a staff of trained employees.  Rick said, "Besides avoiding all the work involved in a new business startup, you will likely be able to assume the existing lease, rather than search for space and wait for the build-out to be accomplished.  Another big advantage is you may step right into a positive cash flow situation."

Rick Bisio of FranChoice Consulting is the author of the book, The Educated Franchisee.    To learn more about how to identify a great franchise businesses and stacking the deck in your favor, go to http://www.educatedfranchisee.com  or buy the book - The Educated Franchisee - on Amazon.com.  Rick's books and articles cover everything you need to know about buying a franchise, owning a franchise, franchising skills and requirements, finding the right franchise, recognizing great business opportunities, starting and building your own business and more about business franchises.  Read Rick's new blog at http://franchiseeducation.blogspot.com/ for more information.

Contact:

Rick Bisio
FranChoice Consulting
(941) 778 4660 PH
(941) 778 4670 FX
(800) 708 0040 Toll Free
rbisio@franchoice.com
http://www.educatedfranchisee.com

Some franchise candidates want to earn their mark by building a franchise business from scratch. Others opt to skip the startup and purchase an up-and-running franchise business.

If you consider you might be part of the latter group, here is some franchise information to study before you get your heart set on this path:

1.         Identifying an existing franchise that is part of a well grounded franchise system, fills your needs, fits your skills, at a price you can afford, in an area where you wish to live can take time. Going concerns that match these criteria don't come along frequently.

2.         You commonly have to pay more for a successful existing franchise than you would pay to build the franchise yourself.

3.         Whereas franchisors may give you an idea of what it costs to build a franchise in Item 7 of the Franchise Disclosure Document, you often must rely on your own resources to find out the value of an existing franchise. You need to know how to appraise the business, or you need good advisors who are familiar with the business category or even with that franchise system.

4.         Taking over an existing business can be a little like climbing on a moving train.  The train is already going down the tracks.  Your job is to figure out how to drive the train before it derails.

If you come across a suitable franchise, there can be numerous nice advantages.

1.         A thriving existing business should already have a proven client base you can rely on once you take over.

2.         A flourishing existing business should also have a happy group of employees that know how to lead the day-to-day operations of the business.

3.         You should be able to assume the existing lease thereby eliminating the need to look for space and wait for the build-out to be achieved.

4.         You may step right into a positive cash flow situation.

Over the years I have worked with a lot of people.  Most have an opinion in relation to whether it is more beneficial to pay a premium for a thriving existing business or build a business from scratch.  I can tell you that both approaches have their pluses and minuses.  Recall that there are no free rides.  If the business is flourishing, stable and profitable, it is going to cost more to purchase and you will have a smaller upside.  In other words, you are buying cash flow at the expense of growth potential.

On the other hand, if you start your own franchised business it might cost less with an faster learning curve but the ramp up to cash flow break even will be longer.

Which represents the right answer?  Well that is for you to decide. It you need advice, feel free to contact us at The Educated Franchise.

Sign up for our FREE monthly newsletter at - http://educatedfranchisee.com/signup.aspx

The Educated Franchisee is dedicated to franchise education through the sharing of franchise information.  Our objective is -

‘To create educated franchise buyers that have clearly defined objectives and are able to recognize the right, or wrong, franchise when they see it.  An educated franchise buyer will move into the franchisee role with their expectations properly set and will have a heightened potential for success within the franchise system creating a win/win for all involved.

To get more franchise information about how to stack the deck in your favor -

Visit our website at www.educatedfranchisee.com or

Purchase our franchise book - The Educated Franchisee by Rick Bisio, Franchise Consultant or

Contact author directly at rbisio@educatedfranchisee.com or call 941 778 4660.

by Rick Bisio - Franchise Consultant

& Author of the Franchise Book -The Educated Franchisee

You've discovered a franchise that appears to be a good fit. You've talked to existing franchisees, read the FDD, and gathered nearly all the franchise information you need. Now it's time for Discovery Day.

Discovery Day constitutes a two-way street organized for you to discover more about the franchisor, and for the franchisor to discover more about you. Not all franchisors hold discovery days, but most do.  Discovery Days are generally scheduled at the end of the discovery process and are held at the franchisor's headquarters. This ensures that time can be spent focusing on the franchise information issues that can only be answered face to face.

It's your chance to meet the franchise management team, assess their operation, and complete your franchise education. It's the franchisor's opportunity to make a decision on whether or not you are likely to be a successful franchisee.

Make certain you put your best foot forward and avoid these 6 common pitfalls!

1.         Remember to sell yourself.

A top quality franchise is awarded - not sold. This is not like purchasing a car. This is more like a marriage. Both parties are entering into a long term relationship. Franchisors want to be as certain as possible that you will be successful in their franchise system. They want you to strengthen the brand. They want you to be an active learner so you won't need 24/7 support on a long term basis.  A franchisor becomes more successful when they only allow high quality franchisees into their system. 

2.   Have a financial plan

By now, you should have went over your finances in detail with the franchise development person. However, be ready to prove you are financially prepared with the right finances and an understanding regarding the P&L.  It shows you are a serious business person. It doesn't mean that you will definitely buy this particular franchise; however, it does mean you can afford to buy this franchise and pay your bills until the business becomes self-sustaining.

3.         Dress appropriately

Some candidates consider Discovery Day as a day off work and show up in jeans. If you were the franchisor, would that impress you? The best approach is to dress the way you would if you were already a franchisee in that business and you were going to meet your most important customer. That might be business casual, but it won't be jeans or flip flops.  An even better way would be to ask the office administrator how the senior staff dress and then dress the same way.

4.         Demonstrate your willingness to learn the system.

Don't try to impress the franchisor with your knowledge of the industry and your thoughts on how to improve the franchise system. Digressing from the system is one of the leading causes of franchise failure. The franchisor will want to hear that you are impressed with their proven system (which you must be, or you wouldn't be interested in buying it!) and that you are willing and able to follow the system.

If you can't express this sincerely, franchising isn't for you. Be sincere with yourself before you get this far in the franchise education process. There are people who cannot follow another person's system. They love making up the rules, taking risks, and are willing to accept the consequences - good or bad. This is fine! But if this describes you, get a hobby that fulfills this need, stay in your day job, or buy an independent business.

5.   Be proactive, be prepared.

At a Discovery day you want to be impressed - but you also want to be impressive.  Prepare as you would be for a big job interview. By now you've listed your skills and matched them to the skills needed in this franchise (for more information on how to do this, see Chapter 4 of the franchise book The Educated Franchisee). Talk about your past experiences as they relate to running your franchise. Past success is an excellent indicator of future success - franchisors want to hear about your achievements and your expectations for your new business. Ask good questions that show your interest. Be a good listener.

6.         Make sure you fit the corporate culture.

If you don't like or trust the franchisor, don't join the system. In addition, if you are not at ease with the franchisees that you have interviewed, don't join the system. Sounds logic but it is important.  It could mean that you are a bad fit for this corporate culture. Don't presume you can work around this or that it will get better. Your chances for success are best when you connect with both the franchisors management team and the franchisees.

Avoid these 6 mistakes and use Discovery Day to your advantage. With the correct attitude and some preparation you can make sure Discovery Day ends with you being in the driver's seat!

Sign up for our FREE monthly newsletter at - http://educatedfranchisee.com/signup.aspx

The Educated Franchisee is dedicated to franchise education through the sharing of franchise information.  Our objective is -

‘To create educated franchise buyers that have clearly defined objectives and are able to recognize the right, or wrong, franchise when they see it.  An educated franchise buyer will move into the franchisee role with their expectations properly set and will have a heightened potential for success within the franchise system creating a win/win for all involved.

To get more franchise information about how to stack the deck in your favor -

Visit our website at www.educatedfranchisee.com or

Purchase our franchise book - The Educated Franchisee by Rick Bisio, Franchise Consultant or

Contact author directly at rbisio@educatedfranchisee.com or call 941 778 4660.

Listening to - and Weighing - Advice

by Rick Bisio - Franchise Consultant

& Author of the Franchise Book -The Educated Franchisee

You're in the market to buy a franchise, and you've discovered a concept that you like. You've read the website, went over the marketing materials and examined the Franchise Disclosure Document.  In addition, you've talked to the franchisor a number of times.  While your spouse may not be completely on board, you've kept him or her in the loop. It's looking pretty good so far.

Advice that Helps

If you are serious about becoming a franchise owner, the next step would be to seek advice from business professionals who possess practical experience in franchising, in the industry that you are looking at and better yet, in the franchise you are considering. The franchisees are a wonderful resource and in most franchise systems they are open and willing to help. An accountant that has experience in this industry and knows the norms regarding profit would be very helpful.  A franchise consultant that has years of experience in franchising can provide you with a balanced point of view regarding the opportunity.  Finally, a lawyer that specializes in franchising can be helpful in reviewing the structure of the relationship.

Advice that Disorients

Far too often, potential franchisees get so excited about the idea of being a business owner that before they fully realize the risks and rewards, they begin reciting their loosely formed dreams to anyone who will listen. They discuss their business idea with their drinking buddies and even with Great Aunt Edna.  Now let's be honest, Great Aunt Edna loves you but she's been out of the working world for 25 years - she does not have an email address and still enjoys watching reruns of Bonanza. There is very little she can do to help you as you seek out more franchise information.  There is a lot, however, that she can do to disorient you.  Be careful. 

How about your buddy who works for the U. S. Postal Service? His lifetime has been spent avoiding risk, maximizing salary, establishing his pension and surviving until retirement. There's nothing wrong with that, but is he able to provide you much guidance?   Probably not.

A lot of people have your best interests in mind. But well-intentioned advice from people who simply don't understand business ownership, the industry you are looking at or have practical franchise information can be incredibly disorienting.

Advice that Matters

Spouses usually balance each other in temperament. If you are a go-getter, there's a high chance that your spouse is more conservative.  S/he will remind you that the paycheck is nice, and will worry about what will happen if you fail. These are critical conversations to have. But you want to be prepared.

First, gather all the facts and be sure you have a clear idea of what it requires to be successful in the business.  How long does it generally  take to break even and what level of income would a successful business create.  Learn everything you can and involve your spouse every step of the way.  If you spouse has a concern, listen to the concern and get as much information on the topic as you can to share with your spouse.  These decisions are normally made as a partnership.  If you and your spouse decide not to move forward with a business opportunity that you love, won't you feel better knowing you've given him or her all the facts? At least then you know you gave it your best shot.

Here are a few of the most frequent objections you are likely to hear, as well as some facts to combat those perceptions.

1. Don't most small businesses fail?

Several long-term surveys have shown that, contrary to independent start-ups, franchises have a strong success rate. Owning a franchise (vs. starting an independent business) gives you a tremendous head start, including:

·     A proven operating system that can predictably create success.

·     National marketing programs

·     Group buying power

·     Training and on-going support

·     Manuals, procedures, job descriptions, accounting help, and so much more.

To get more information on this subject go to the Download section of www.educatedfranchisee.com <http://www.educatedfranchisee.com>.  There are a few reputable surveys that will give you all the franchise information you need in regard to success rates.

2. Why don't you just change jobs?

Any book you read on wealth creation will tell you that very few people become wealthy by working for other people.  Wealth is generally created in three ways - the Stock Market (less than 10% of millionaires created their wealth by investing in the stock market), Real Estate Investment ( 10 - 20% of millionaires created their wealth by investing in real estate), and Business Ownership (70 - 80 % of millionaires created their wealth by building businesses).

Finding another job will not prompt you to the next level.  If you are looking to create wealth and a better future for you and your family, business ownership is the best path.  Chapter 5 of The Educated Franchisee can help you learn more about how business ownership leads to wealth creation.

3. Perhaps you should think about it some more.

You should not make a decision of this magnitude rushing but you do not want to postpone either.  Do your homework, ask all the questions and take notes - then make a yes or no decision in a timely and businesslike fashion.  One characteristic of successful business people is their ability to make good business decisions with incomplete information.  If you find yourself paralyzed, be careful, business ownership may not be for you.  Yes or no, the most important thing is your ability and willingness to make a decisive decision and move forward.

4. What if you fail?

You need to get into business ownership with the knowledge that you may fail.  Of course you could also lose your job.  There are no guarantees with anything that we do in life.  Nobody can guarantee success.  All you can do is stack the deck in your favor. 

If you know that most franchisees in your chosen system are pleased with their success; that you have similar skill set to successful franchisees; that you are adequately capitalized; that you trust and can follow the franchisor's system; and that you are willing to work hard, you are on your way to being confident that you can succeed.

Before you start to share franchise information with your friends and family make certain you have the facts straight. Educate them. Help them join your team. And if they can't be on your team, maybe that's OK. Everyone likes to give advice, and naturally, everyone gives advice from their point of view - their reference base. As long as you know that, you can appreciate their concern, and not let it overly influence you.

This Article was written by Rick Bisio, a franchise consultant who is dedicated to franchise education.  Rick's objective is to create educated franchise buyers that have clearly defined objectives and are able to recognize a great franchise opportunity.  Visit the http://www.educatedfranchisee.com for a free monthly newsletter and more information.