7 Ways to Make Your Franchise Offering Shine

So much money and effort goes into creating a franchise offering that it’s often surprising to me to see programs that are dull, off-putting, or simply unimpressive. At the same time, I also see programs that jump off the page (or leap out of the computer) and insist that prospects pay them some serious attention.

Why do some franchise offerings convey, “You’ve just got to invest in this program!” while others seem to say, “Don’t bother spending your money with us”? Here are seven qualities that exciting franchise offerings have in common.

1. Solid website presentation: A website is the front door of any 21st century franchise company, and it had better be welcoming. All too often, franchisors try to do too much at their crowded sites, and the path prospective franchisees should navigate to find the information they need is hidden, or just plain uninviting. A website is where your company must put on its best face. Sure, you want to show off your products, menus, services, locations, and everything else, but it’s essential to deliver specialized business information to interested prospects. Don’t make franchisee information hard to find or dry as dust, or that rare interested candidate will just move on down the information superhighway.

2. Positive franchisee comments: The best sales representatives in any line of business know that there is absolutely nothing more valuable than an enthusiastic recommendation from a satisfied customer. What do your franchisees have to say about their experience with their franchise investment? If the only sound to be heard is grumbling, it will pull down your franchise sales despite your efforts elsewhere. You might want to try working with an independent survey firm to hear exactly what your franchisees are saying about the investment opportunity. One of the best is Jeff Johnson at FranSurvey.com; the firm will gather franchisee comments, rate them, and make them available to you and your prospects.

3. A well-executed Franchise Disclosure Document: In most U.S. states, a franchisor’s disclosure document (FDD) is delivered to investors without any government specialist ever seeing it. If you take the view that your disclosure document is nothing more than a necessary -- and rather expensive -- evil, and slap it together without a lot of care to its appearance, its typos, how it reads, how it is reproduced, how it looks, how it uses available electronic formats, or how you deliver it to your prospects, it will convey far more than you intend to discerning investors. If you are receiving inadequate legal advice, or you are not following the advice you are receiving, it will instantly come through in your documents. Take the time -- and spend the funds -- to create excellent disclosure documents. The prospects you really want to attract will see the difference, and will more seriously consider your offering.

4. A strong case for growth: If you want your franchise to sparkle, make a strong case for the two kinds of growth in which an investor is most interested: the market for the products and services offered, and the prospects for growing one franchise into many. For many franchise systems, the former is a given, but it’s the latter that will really make your franchise shine in the eyes of investors. Prepare a smooth path for growth to reward your successful franchisees -- consider internal financing, discounted initial fees, and other programs that make multiunit growth feasible and encouraged. There is no more enticing opportunity to be offered in the business world than building wealth through multiple business development.

5. A sales presentation that does not oversell: Avoid the hyperventilating franchise sales pitch. If it is done right, the franchise presentation is carefully balanced between excitement, opportunity, and reality. Make sure there are no nasty surprises when people join the system, or you and your future sales closing rates will hear about it.

6. A competitive price: Know what your competitors are charging by way of initial fees, advertising contributions, and continuing royalty rates, and stay in the same ballpark. This is relatively easy information to get hold of: Start at Cal-EASI, California’s online database of registered franchise offerings, which includes all registered franchise disclosure documents.

7. Superlative training: This is what sets apart the shining investment opportunities from the just passable franchises. The heart and soul of a great franchise program is its training. It conveys invaluable knowhow, launches new owners, and sustains franchisees in the early stages of the franchised business. Good training is well organized and comprehensive, and is generally supported by useful materials that the franchisee can refer to whenever needed. If your training is outstanding, be sure to emphasize it. If the training you offer is less than stellar, it will weaken your program in myriad ways.

Don’t let your franchise offering languish in the middle of the pack. Make it shine!