Owning a franchise offers a variety of benefits for an entrepreneur ready to take the plunge, but you should never make any major business decision without doing your due diligence to ensure it’s a good investment and a good fit. 

Let’s explore what to consider before buying a franchise—the factors you absolutely need to take into account before making your decision.

1. Research the Brand

A franchise is a partnership. You provide the leadership, stellar customer service, and community experience on the ground. Customers respond to these elements—in fact, it’s hard to find or maintain a loyal customer base without hitting high marks in all these categories. But no matter how well you manage your store, your local franchise cannot break away from the reputation and customer loyalty of the brand as a whole.

That can be a blessing or a curse. It depends on the brand loyalty already baked in and the ability to make good decisions at a brand level. A brand with a strong following and goodwill can make your job as a franchise owner much easier.

2. Evaluate the Level of Support

When considering a franchise opportunity, make sure you understand the level of support you will receive from the franchisor—especially if this is your first time owning a franchise. There are a lot of questions to answer and nuances to navigate. The franchiser has a vested interest in your success—they don’t benefit if your venture fails—but that doesn’t mean all companies are equal in the support they provide. Find a brand that has your back.

At Bricks & Minifigs, we support franchises with comprehensive training, marketing advice, and ongoing operational assistance. Interested? Contact us today to learn more about franchising opportunities.

3. Gauge Your Interest Level

Ultimately, most franchise owners are looking for a money-making opportunity. There’s nothing wrong with that—we all need to make a living, and franchise ownership can reap significant financial rewards. 

But your decision will take up a lot of your time in the years to come. It would be a mistake to commit yourself to an industry you dislike, no matter how lucrative it ends up being. We recommend choosing something you’re passionate about. That’ll keep you going when it’s tough and make it a pleasure to go to work five, ten, or twenty years down the road.

4. Weigh the Initial Investment

When evaluating potential franchise opportunities, it’s important to consider the initial investment required. This includes the franchise fee, startup costs, and ongoing expenses such as rent and salaries. It’s also important to factor in potential additions such as insurance, marketing, and legal fees. Set yourself up for success by making sure you have enough capital to cover all these costs.

5. Consider Your Funding Options

What if you don’t have the capital on hand for all those costs? Do you need to give up and pursue something else? Not necessarily. You can pursue multiple funding options to help you cover any gaps in your bank account. You may be able to turn to loans (from a traditional bank or the Small Business Association), friends and family, crowdfunding, and more. This is an investment opportunity with the potential for a healthy return on investment, so consider partnering with others to cover the costs and share the profits.

6. Assess Market Demand

You can find the ideal brand with affordable startup costs, but you won’t find easy success if there’s no local interest in the product or service in question. Look at demographics, competitor density, and data from similar markets. Are people going to other cities to get what this franchise could offer? It’s easier to bring a new offering into a market where the demand already exists than it is to come in and generate interest in something people don’t know they want.

7. Find the Perfect Location

The location of your franchise is a major factor in determining its success. Consider factors such as nearby competitors, the local population, and the availability of public transportation. Also, make sure to research the local regulations and zoning requirements to ensure you are able to legally operate your business in that location.

This ties into the market demand question, too. If local interest simply does not exist, you’ll be better off looking elsewhere and establishing your franchise in a friendlier environment.

8. Ensure the Timing Is Right

Starting a business can be a lengthy process. Make sure you have a clear understanding of the timeline for setting up your franchise, including the necessary steps and the expected completion date. This will help ensure you are able to launch your business in a timely manner and start generating revenue quickly.

Most new businesses do not turn a profit immediately. The good news is that partnering with an established brand and proven business model gives you a headstart—but that doesn’t necessarily equal instant success. It takes time to build something great. You need to make sure your needs will be covered during the waiting process, while you: 

  • Wait for the franchise to open.
  • Give it the chance to blossom into a profitable enterprise.

Discover Franchise Opportunities with Bricks & Minifigs

We like to ask potential franchise owners four simple questions:

  1. Are you a LEGO® enthusiast?
  2. Do you have an outstanding work ethic?
  3. Do you love seeing smiles on customers’ faces?
  4. Would you enjoy working with a diverse customer base?

If the answer is yes, you may well have what it takes to find success as a Bricks & Minifigs LEGO® seller franchise owner. 

By purchasing a Bricks & Minifigs franchise, you’re gaining a world-class support system and access to the business systems and training we’ve worked hard to establish.We offer a loyal customer base with a proven business model. 
Our mission is to provide you with the help you need to run one of the most profitable franchises. If you’re considering starting your own business, we’d love to hear from you!

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