8 Solid Signs That a Franchise Opportunity is Right for You

Owning a franchise is a great way to build wealth with a business that already exists. There are many franchising opportunities available, so choosing one that fits you, your budget, and your personality is important.

No matter which franchise you have your eye on, there are very specific signs to look for to determine if you should seriously consider purchasing the franchise. Here are the top eight tell-tale signs that a franchise opportunity is right for you.

1- Great Reviews

When you discover a franchise opportunity that interests you, do a quick online search to check if they already have great reviews. A big tell-tale sign that a franchise is right for you is if customers are already raving about the business. This shows more than just good customer service but that the company has created a solid business model that can both drive sales and have longevity.

2- Good Price

Another tell-tale sign that a franchise opportunity is the right fit for you is if it’s within your budget. Do your homework by researching available opportunities on an online franchise directory, then narrow down the ones that fit both your interests and your budget. A franchise directory is the best place to start when researching franchising opportunities as these websites serve as an all-inclusive guide to the best franchises available, and also save you time from having to find franchises on your own.

3- Proven Sales Track Record

After identifying a franchise opportunity that interests you, next is seeing if they have a proven sales track record. Having consistent sales for a few years is a big tell-tale sign that the franchising opportunity might be perfect for you because consistent long-term sales show that the franchise already has a solid business plan that can be consistently executed on. Once you purchase the franchise, you’ll have a winning sales strategy already built into the business which takes out the guesswork for you. Most startup businesses fail within the first few years because they don’t know how to produce consistent sales, so a good franchise with a proven track record is the best possible opportunity.

4- Little to No Local Competition

A franchise that has little to no local competition is preferred because the more competition in the area, the harder it is to get customers into the door because of the options that are available. Little to no local competition from other similar businesses is also a sign that the business concept is unique.

5- Large Social Media Following

A large social media audience is an indication of the popularity of the business and that the business model is proven to be successful. Businesses with a small social media following usually don’t have longevity. To increase your chance of future success with a particular franchise business, a large social media following is another clear indication that the franchise opportunity is right for you.

6- Great Reputation

The franchise doesn’t have to be a big household name, but it does need to already have a good reputation. The business having a good reputation already shows that it’s trusted by customers, therefore future sales will be easier for you. Brand reputation is important for any business, particularly for franchises since you’re paying for the name and reputation of the business when purchasing a franchise opportunity.

7- Not Already in Your Area

You don’t want to run into a situation where your exact franchise business is already on every street corner in town. Just like how we want little to no local competition from other companies, we also want to be one of the only (if not the only) locations of this particular franchise in the region. This makes it so customers have fewer choices on which location to go to.

8- Support Available

An important tell-tale sign that a franchise opportunity is right for you is if you receive support from the franchise. See how available the franchisor is to share their knowledge with you. Also, see if there are any other franchise owners that can be a support system for you as you start your new franchise business. The more support you have from people who already know the business inside and out, the quicker your franchise will become successful as well.

Franchising is one of the fastest ways to become a successful business owner. When a business has very specific tell-tale signs of success, you can be confident in your purchase of the franchise.