Franchise your business and essential preparation starts with an expectation that you fully understand all of the touchpoints of your business model.

Listed below are 5 easy steps and tips to support you in building a viable business proposition for others to buy into including your successful ways of working.

  1. Customers
    1. How exclusive is your product or service and can your customers easily move on?
    2. When was the last time to spoke to your customers, are you missing business?
    3. A simple tip is to hold a customer day to share your business services/products, goals, future vision to remind them how great you are!

 

  1. External environments
    1. What’s the size of your market place and what % are customers?
    2. Is it a sector that’s growing or shrinking?
    3. A tip is to keep an eye on what’s happening by understanding your competitors activity (local, national and global) and add alerts to update on legislation or changes in the sector or environment you operate in.

 

  1. Financial
    1. Do you track the age of your invoices outstanding and if no why?
    2. Does your net profit (turnover – costs) increase each year and if no why?
    3. A simple tip, communicate to your customers through each step of the sale from proposal, digital and invoice your payment terms. Chase early if overdue and keep a track on what you charge customers.  Are you charging enough? if not why? this may be eroding your net profit.  Can you reduce your costs to improve the net profit ongoing?

 

  1. Business Mix
    1. What % of your top 3 customers contributes to your overall turnover? If you lost these how would this affect your business?
    2. Looking at your products or services which ones represent the greater margin? Are you targeting your marketing and sales efforts to the greatest margins?
    3. A simple tip for all businesses is to aim to retain business so that each month you have an opportunity for recurring revenue. Look at your whole offering and check if all of your products are services are in the business mix (if the margins are too low and the demand is also low consider if you need to keep them?  Remember to plan and keep a check?

 

  1. The People & Team
    1. How would your business perform if you had to exit the business or was ill?
    2. How often do you take the time to evaluate your teams against their performance and business expectations for now and the future?
    3. A simple tip for all businesses is to aim to have an exit strategy and backup plans. Team members who can run the business for you leaving you time to work on the business and not in it – or even exit it!