Platt Perspective on Business and Technology

Should I stay or should I go? 20: franchise businesses and becoming a franchisee as a next career step 4

Posted in career development, job search, job search and career development by Timothy Platt on June 24, 2016

This is my twentieth installment to a series on intentionally entered into, fundamental job and career path change, and on best practices for deciding both when and how to carry through on it (see Guide to Effective Job Search and Career Development – 3, postings 416 and following for Parts 1-19.)

This is also my fourth installment here, in which I discuss franchise opportunities as next career moves (see Parts 17-19.) And up to here in that, I have been addressing the basic issues of what franchise opportunities involve and who, at least generically by personality and career goal requirements, would find them good next-step career choices. At the end of Part 19, I said that I would move on from there and from at least that level of due diligence pro and con considerations, to discuss:

• The allure of good brands and products, and of really supportive franchise system parent companies.
• And franchise entrepreneurs who come to own and oversee strings of their franchise outlets.

Working as a franchisee with a really good, supportive corporate business that offers good products and services that the consuming public really likes, is a very attractive career option, and essentially in the same way that working in-house is for a really good and supportive employer is, that offers their hands-on employees and managers opportunity to succeed personally, to the level that they perform at. And that last detail is crucially important here:

• An effectively run franchise system gives its franchisees both opportunity and incentive to develop their business operations as successfully as possible, enriching themselves while bringing greater revenue back to the parent company behind their brand too.

A franchise holder who thrives at that type of system and who wants to expand their involvement and their scale of business opportunity there, and beyond what can be accomplished with a single franchise in a single location, can in many cases take ownership control over a second franchise license in that same corporate system too, provided that one is available. Franchise system parent companies appreciate success and the drive to succeed more than already achieved – and that can be considered as close to an absolute truth as any point that I could make about this type of career path opportunity.

A real franchise systems entrepreneur can sometimes expand their ongoing success beyond what is attainable in a single franchise outlet with its single more limited immediate customer base through growing their franchisee reach, taking over and running a string of such operations. In this, these larger-involvement franchisees fit more the pattern of serial entrepreneurs and mid-level or even more senior executives, as they manage others who hands-on and day-to-day actually take care of the ongoing transactions flow at their individual sites of operation.

If their individual franchise outlets are all located in a readily covered and at least largely contiguous area, it is even possible for these entrepreneurs to remain directly connected to all of their franchise outlets individually, and directly involved in their individual ongoing business decisions and activities – and even with them making most of the managerial decisions that a franchisee would make in the framework of their overall franchise system, and for all of them. Though I add here that a multiple franchise outlet entrepreneur, exactly like a new in-house middle manager should focus on finding the right people to manage their individual franchise outlets, contribute to their training where that makes sense and certainly for working effectively in their system, and only selectively step in to make direct single outlet-level management decisions themselves – where such decisions would affect their overall string of franchise outlets and licenses, leaving more local-only decisions to the managers who report to them.

And this brings me to the last basic issue that I would raise in this portion of this series:

• Buying out already held franchise operations from franchisees who have come to see that as the wrong career step for themselves,
• And on the flip side of that selling off a franchise license and stepping out of that business to try something else – where that might mean moving on to a new business opportunity, retiring or any of a variety of other exit strategies.

And this brings me to a whole new set of due diligence considerations – or rather two of them:

• The due diligence issues of deciding when and how to move on and leave a franchise system, and
• The corresponding issues that would enter into any well considered decision to take over such an already established franchise operation – and either as a single retail outlet franchise license holder, or as an entrepreneur who wishes to expand their operations in a franchise system beyond just one such outlet opportunity.

Franchise business opportunity can be considered a perhaps special case example of the wider set of issues that enter into selling off and leaving a business and its operations, and buying out and taking over such a business opportunity. And I will at least begin to more fully discuss those larger sets of issues in my next series installment. Meanwhile, you can find this and related postings at my Guide to Effective Job Search and Career Development – 3 and at the first directory page and second, continuation page to this Guide.

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