What Does a Franchise Consultant Do?

15/01/2015
Inexperienced prospective franchisors often do not know how to distinguish a qualified franchise consultant from a “one size fits all” franchise packager, and mistakenly believe that drawing up the proper franchising legal documentation is all they need to define and launch a franchised system. But engaging a qualified franchise consultant can often make the difference between whether a franchise system succeeds or fails.

First off, if your business is not yet ready to franchise – a qualified franchise consultant will tell you so. In contrast, a franchise packager will readily agree to help just about any business franchise – whether or not it is appropriate to do so.
The design, development and implementation of a solid franchised system is complex. Qualified franchise consultants help the emerging franchisor develop a sound structure and strategy for a sustainable franchise system. The emerging franchisor’s business has a unique value proposition, culture and brand presence that needs to be convincingly and properly franchised.
A franchise packager delivers franchise disclosure documents on a boilerplate template – regardless of whether or not that template is suitable for the prospective franchisor’s business. But the risks to the franchisor – and for their future franchisees – are too high to mimic someone else’s strategy.
Basic Requirements for Franchising
For start-ups and smaller businesses that want to franchise, the company should have a successful operating business before delving into franchising, including an understanding of the ebb and flow of the business for a period of at least one year. The company should be ready to show that the business is profitable and scalable. They will also need to establish an estimated franchise investment that is both competitive for expansion, and will remain profitable after franchise fees and royalty payments are added.
Determining Franchisability
A qualified franchise consultant will help a company determine its franchisability through a structured process that consists of looking at a broad spectrum of business factors in a systematic approach. By helping the prospective franchisor evaluate where their business is today, the consultant helps identify what additional infrastructure and support will be needed to implement a franchise structure and achieve franchisability.
Remember, becoming a franchisor means entering into a new line of business. Does the prospective franchisor need to gain more business knowledge? How will their brand translate into different markets? Do they need to bring on board new management who have the necessary skills to support a growing franchising system, not to mention the staff needed to support franchisees? A qualified franchise consultant guides the emerging franchisor through this process.
Looking at one’s franchise feasibility confirms that a business has a measurable set of results, as well as the business operating acumen to successfully franchise their concept and assist their franchisees. A qualified franchise consultant ensures that the franchise offering, its structure, and its brand promise are all in alignment with a franchisor’s business goals and objectives.
Franchise Consultant Benefits for Mature Franchisors
Franchise consultants also work with mature franchising organizations to create a franchise system that not only helps the business owners reach their goals, but is sustainable and profitable for the franchisee. Consultants such as MSA Worldwide advise franchisors on the value of a comprehensive strategy that properly documents the franchising relationship – and helps both franchisor and franchisee avoid costly legal and professional issues.
Qualified franchise consultants view their primary role as helping their franchisor clients assess current business performance and develop strategies and tactics to change and grow the channel sufficient to maximize the returns for all stakeholders. Franchisors turn to experienced franchise consultants for the experience and expertise that comes from working with numerous other companies in a wide variety of industries. This outside expertise provides a unique and external perspective on the franchisor’s situation, and frequently enables the consultant to develop approaches more quickly and with greater clarity and lower cost than the franchisor could do internally.

Fonte:http://franchises.about.com/od/Franchise-Structure/fl/What-Does-a-Franchise-Consultant-Do.htm?nl=1

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