Ever thought of starting a small business for yourself to supplement your present income? Or perhaps you’re looking to transition from employee to boss? Interested in working as an educator or providing students with a head start in a certain area? Curious about what an educational franchise has to offer?
The appeal is plain to see: You purchase a business model and you implement it in your area. Having a ready-made business plan sounds like a dream come true, right? Well, not always. According to experts, just having a franchise is not a guarantee of success. So what should the curious know when researching educational franchise opportunities?
Here is what you should think about when making your decision:
- Personal interest and knowledge.
As with most any other job, there will be days when you would prefer to stay in bed. What’s the solution? A personal interest or background in the program won’t hurt and can help. Were you a judo black belt in your younger days? Maybe a mathlete in high school? Look for tutoring franchise opportunities that align with your personal interests.
Personal experience and love for the topic being taught will give you valuable insight into your students. As well as provide you with a better understanding of the parents, those who will sign up to your educational franchise.
Of course, it is possible to know nothing about a certain topic and run a successful franchise. Most educational franchises provide a curriculum and teaching methods for you to base your classroom on. And you can certainly hire tutors and those who will take care of the daily lessons. So expertise is not a necessity, but passion for your business will tide you through the tough times.
- Market interest and demographics.
Do you have a good idea of where your franchise will be located? If so, have you considered whether your franchise aligns with the location’s demographic? Take a look at the community that surrounds your potential franchise location. Obviously, you want a community that consists of parents raising children. Rather than a business sector or a place populated by young college students.
Going beyond community, consider the location of your franchise. Is the environment considered safe? Will parents feel comfortable sending their child to this location? Will they need to drop them off? Is there a cafe or a mall nearby where the parent can wait while the child is in class?
- Proven methods, model, and cost.
Look into the past history and success stories of the educational program you are considering. On Entrepreneur.com, evaluate its score on the Franchise 500 ranking system. This site gives you a thumbnail sketch of the date the franchise began, as well as a rundown of the fees and costs associated with your investment. Some educational franchises have a limit of how many units can open in a certain area. Others require some educational requirements that must be held by the main business owner. You may also need to hire employees.
Calculate all operating costs that will occur monthly and those that are a one-time expense. For example, most franchises require an initial franchising fee. Monthly costs often include a monthly royalty percentage or monthly payment to the franchise. Combine that with operational costs of the space you rent, utilities, employee costs, etc.
Outside of the above considerations, also think about how much time you will be able to devote to your franchise. Do you hope for flexible hours? Or do you plan to work 9 to 5, all days of the week? Are you looking for a lot of social media and marketing support? Or do you feel confident in handling that on your own? Schedule an appointment to talk with a franchise representative and get all your questions answered.
Doing extensive research will take time. But it is the best way to avoid buyer’s remorse when it comes to choosing the right franchise opportunity.