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4 Extremely Common Ways Franchise Owners Sabotage Their Own Success

May 22, 2016

When everything goes according to plan, the franchise model is better than sole ownership for both franchisors and the franchisees that they work with.

As franchise owners invest in a franchise, they bolster their chances of success by gaining access to easier financing, marketing help, streamlined training at all of their locations and help in finding the ideal site(s) for their franchise locations.

Common Ways That Franchise Owners Self-Sabotage

Franchisees also benefit by gaining economies of scale and being able to leverage the power of a battle-tested business model to their advantage.

Franchisors frequently provide ongoing support as well as access to nationwide franchising organizations like the International Franchise Association and industry conferences to help franchisees achieve success early and often.

Sometimes, though, whether from inexperience or an otherwise laudable independent streak, franchisees unknowingly torpedo their own results. Here’s what to look out for.

franchise owners

1.     You Show Too Much Initial Caution

One of the common ways that we see franchisees fall short of their potential is by being unduly cautious right out of the gate. As the automotive mogul Henry Ford once said, “Whether you think you can or you think you can’t, you’re right.”

What this means is that your aspirations early on as a franchise owner often become a self-fulfilling prophecy. This really underlines the importance of setting your sights high from the outset.

Are there ways in which you could expand more regionally? Does your access to liquidity and franchise financing dictate more of a multi-unit franchising approach or even franchising with multiple brands?

You constantly have to ask yourself if your ambitions are matching your current capacities and franchising results.

2.     You Forego Training and Marketing Help

Franchisors almost always lend a helping hand when it comes to offering training help for your location’s future employees.

Since they’re part of regional and nationwide advertising networks and marketing associations, franchisors can also leverage decades of experience and insider connections to bolster your location’s press and local attention.

Franchisors also frequently provide ongoing technical assistance to franchisees, so if you need guidance in running a time-sensitive promotional campaign or you need a helping hand in training your employees and staying abreast of changing practices in the industry, all you need to do is ask.

Many franchisees unknowingly self-sabotage here by either A) being unaware that this kind of help is available or B) perhaps being too independent to ask. Remember, franchising success is a team effort and collaboration is absolutely essential.

3.     You Forget About Continued Learning

Although running a franchise can place a lot of demands on your time and energy, it’s also incredibly rewarding.

A lot of franchisees, though, get overwhelmed and forget to update their professional, technological and networking know-how when they get caught up in the excitement of running one or more franchise locations.

4.     Losing Track of Your Business Plan

To acquire startup capital and before signing a franchise disclosure document, you likely developed a business plan that outlined your plans for opening and operating one or more locations as well as how you intended to market, expand and train your staff.

While part of your business plan was undoubtedly specific and included your financial projects and things like balance and cash flow statements that reflected your projected future potential, too many franchisees stray from their initial franchising ambitions and values.

In short, franchisees can self-sabotage by settling for a less-than-stellar final product or customer service, thus falling short of the benchmarks laid out in the business plan they first presented franchisors.

To stay on track, remember that ambition and enthusiasm filter from the top down and affect everyone. If you’re interested in learning more about franchising with Pretzelmaker, download our free brochure.

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If you’re ready to bring Pretzelmaker to your community click here to skip to the front of the line by filling out a franchise application.

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