Franchising

The 21st century, in its first decade, is looking like it will be the century of the franchise. It's impossible to drive to any of the thousands of shopping centers and malls anywhere in the world, or down the main thoroughfares of any major suburban areas, and not pass franchise after franchise, ranging from restaurants, to dollar stores, to cellular providers, to fitness centers.

A huge number of people both recognize and patronize the franchise giants. But not nearly as many realize that there are hundreds, if not thousands, of other franchises offering marketable products or services without commanding huge franchising fees. It is the relative anonymity of these franchises, in fact, which makes them ideal opportunities for someone who understands the ins and outs of the franchising business.

A franchise sale is one way the franchising company has of helping sway those who are still on the fence to commit to starting their own franchise. Smaller franchisors are always on the lookout for prospective clients, and will use every means possible to generate a franchise sale.

The Franchise Trade Show

The Internet has opened up the franchise market to millions of people who would otherwise have had no idea how to enter it. There are even estimates that seven out of ten franchise sales leads come from the Internet, with direct mail, word-of-mouth, and print ads accounting for the rest. But many small franchisors still rely on the tried-and-true expos and trade fairs for each franchise sale.

The most important franchise show is the International Franchise Expo, and unlike industry trade shows, it is designed strictly to bring together a franchisor and prospective franchisee in the hope of generating a franchise sale. Most of them are held on weekends, and one way in which a franchisor can increases its chances of making a franchise sale is to stay in the area for a couple of days after the trade show.

Following Up And Making The Deal

To accelerate the franchise sale process, franchisors may arrange follow-up seminars to their most promising sales prospects. Some of them will even offer discounted franchise sale prices as a way to seal the deal before they leave the area.

By allowing buyers a chance to get in the door at a lower than normal cost, the franchisors are giving the investors the chance to get their franchises on a paying basis much more quickly than would otherwise be the case, and that can often be the deal-maker.