What Makes a Solid Franchise Business Plan?

 

Being able to work off of an existing franchise business plan is one of the great benefits of opening a franchise.

With a traditional startup, created from scratch, you’re already several steps behind. You’ll need to come up with the idea, the products, the branding, the logo – and that’s only the beginning. You’ll have to figure out how to run the business through trial and error. You’ll need to constantly reinvent the wheel to find the most efficient way to run the business and attract customers.

But with a franchise, a lot of this is already laid out for you. A good business plan will guide you in a direction that has already been tested and fine-tuned by other business owners like you. The entire look and feel of the business, from the product offering to the logo, will already be figured out for you. These factors can save you a heap of time and money, and give you a significant advantage.

The question is: what makes one business plan better than another?

 

 

Franchise Business Plan Must-Haves

Not every franchise business plan is as solid as it could be. As you begin comparing different businesses, make sure these crucial components will be provided to you by the franchisor. Otherwise, you’ll be left figuring it all out on your own.

- Products
Make sure you have a good understanding of what the products are, what makes them unique and who they appeal to. No matter how hard you work on your business, the products will ultimately determine your true potential for success. Your franchise business plan should lay out specific information on the items you’ll be selling, and where they fall in the industry.

- Market / Competition
A good business plan should provide a clear picture of the market in which you’ll be doing business and how the franchise fits into that picture. Who are the competitors? Who’s at the top of the market and why? What makes your business different from theirs, and how will you compete?

- Customers
To run your business successfully, you need to have a deep understanding of who your customers are – long before you open your doors. What is the target demographic and why? What needs do your products fulfill? Why would customers buy from you and not your competitors?

- Marketing
Every type of business needs its own unique marketing plan. This is a crucial component of a franchise business plan, because it provides insight on how you’ll attract customers. For example, will your business rely mostly on word-of-mouth advertising? Direct mail? Local TV and radio spots? Your franchisor should be able to provide information on which marketing methods have worked best for others.

- Operations
One big reason the top franchises are so successful is that they duplicate the same proven system across all locations. Make sure you have a clear, straightforward plan on how to operate your business, based on data from other successful franchisees.

 

Discover a Fresh, Innovative Franchise Business Plan

Looking for a fresh, exciting franchise that is breaking new ground in an established food industry? Check out HUMAN Healthy Vending.

We are a first-of-its-kind vending company offering 100% healthy foods and drink products for today’s health-conscious consumers. Learn more about our company, products and people to see why Forbes magazine has named us one of “America’s Most Promising Companies.”