Recognising a good franchise opportunity
By: Deborah Bates
22 July 2011
Trying to weed out the best business franchise opportunities is a daunting task, but for expert Joe Matthews, there are obvious warning signs investors can avoid to protect themselves from making a mistake.
Overly-bureaucratic companies and unstable business models are things to avoid, in addition to tight-knit family firms.
Matthews revealed on Financedtoday.com that buying into franchises is a great way in which to start your own business, but that it is wise to fully research those being considered before making any final decisions.
The key thing to look out for are that the franchiser isn't blaming the initial franchisee for any problems in the business; in addition to ensuring that results and compliance are treated with equal importance.
Matthews also advised potential investors to invest in franchises that display "skilled and seasoned" management staff.
He then added his top qualities to look for a franchise, stating: "I would look for franchise companies with a sense of purpose and inspiration. When push comes to shove, what motivates these people?
"Whatever company you're looking to buy into, do web searches on the names of the owners."
Matthews concluded on BusinessDailyAfrica.com by stating that a "unique and timeless" business model was the most critical thing to search for in a franchise.
Top of page