- Make sure your business concept can effectively be duplicated.
Owning and operating one company is very different than running multiple businesses as a franchise. â€śAnytime a company wants to engage in franchising, the most critical step is demonstrating that the initial concept can be cloned beyond that one or two outlets that the current entrepreneur may own,â€ť says Patrick Kaufmann, professor and franchising expert at the Boston University School of Management.
And keep in mind a red flag should go up if the business is too dependent on the people running it. Relying more on a person or team of people for your businessâ€™ success than you do on the actual business concept could mean youâ€™re not ready to franchise. You should have full confidence in your businessâ€™ ability to flourish based on concept alone.