Problems Faced by Franchisers in Aggregate
Understanding the working of the franchise will also help you gain known of the faults wherein you get face problems. Knowing the Problems is one step towards solving those problems. Thus let’s get known of the problems that franchisers face.
The very first and common problem that everyone encounters are regards the money availability with you. $250,000 you usually need to start a traditional business either. Approximately 70 - 80% of traditional store front businesses fail within the first 2 - 5 years. And the percentages are getting worst as the economy suffers. Added to this, the average, "successful" business usually doesn't start consistently turning a profit in as long. The working hours if you own a franchise are not stable; hence you need to work for hours together without any specific schedule. It may also extend to 15 to 18 hours a day. The franchise fees are a real pain because different franchise charge is too high and find it difficult paying the fees.
Other important things that deal with employee training wherein most of the time is invested by the franchisers, typical point of sale systems are cluttered with rarely used features which were tacked instead of integrated with usability in mind
Monitoring the stores operation closely and having a glance every time on the activities of the store and managing them without any spy on employees is a great task.
Managing the marketing programs of the franchise is also matter of giving thought to; the marketing programs set in place the next fault could arise in data entry and managing the wide data base is quite tough.
Making employees follow the companies practices is difficult, and having them on their track with the fulfilling their duty. The process of franchising requires intensive training and support to the franchisees by the franchisors.
Tapping the flaws of the franchisers and making yourself safe from being attacked by any problems make yourself protected from all the problems in line, by having set guidelines for every process.
Understanding the working of the franchise will also help you gain known of the faults wherein you get face problems. Knowing the Problems is one step towards solving those problems. Thus let’s get known of the problems that franchisers face.
The very first and common problem that everyone encounters are regards the money availability with you. $250,000 you usually need to start a traditional business either. Approximately 70 - 80% of traditional store front businesses fail within the first 2 - 5 years. And the percentages are getting worst as the economy suffers. Added to this, the average, "successful" business usually doesn't start consistently turning a profit in as long. The working hours if you own a franchise are not stable; hence you need to work for hours together without any specific schedule. It may also extend to 15 to 18 hours a day. The franchise fees are a real pain because different franchise charge is too high and find it difficult paying the fees.
Other important things that deal with employee training wherein most of the time is invested by the franchisers, typical point of sale systems are cluttered with rarely used features which were tacked instead of integrated with usability in mind
Monitoring the stores operation closely and having a glance every time on the activities of the store and managing them without any spy on employees is a great task.
Managing the marketing programs of the franchise is also matter of giving thought to; the marketing programs set in place the next fault could arise in data entry and managing the wide data base is quite tough.
Making employees follow the companies practices is difficult, and having them on their track with the fulfilling their duty. The process of franchising requires intensive training and support to the franchisees by the franchisors.
Tapping the flaws of the franchisers and making yourself safe from being attacked by any problems make yourself protected from all the problems in line, by having set guidelines for every process.