How to Efficiently Manage a Multi-Store Franchise

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Victoria Smith

Many business owners are looking to expand. While they may be pleased with their current success, the possibility of achieving, even more, is what they really aspire to. One way to accomplish this is by transforming your small business into a multi-store franchise. Doing so may seem like a daunting task. However, there are strategies you can use to efficiently manage such a franchise.

Create and Implement a Concrete Franchise Model

Franchises don’t always work out, and that’s often because the franchise model used was not strong enough to hold together a cohesive brand. Managing your franchise properly requires creating and enforcing a concrete franchise model on all franchisees. This model should include the terms of your franchise agreement with franchisees, the royalty fees, a shared marketing strategy, and the instructions, recipes, and or blueprints for your core products that will be served to customers at every franchise location. There should actually be as little wiggle room as possible. The idea of a franchise is to replicate the same exact business in different locations under different management.

Implement Strict Franchise Training

At the core of the franchise business model is the ability to recreate the same experience at all locations. This is why the model is so successful and there are approximately 750,000 franchised locations throughout the United States. It doesn’t matter if you go into a McDonald’s in Tokyo or Houston, Texas. The Big Mac you are served should be the same. To make sure this is the case with your own franchise, you need to implement a strict franchise training regimen. You can’t expect individual franchisees to be able to exactly replicate your products on their own. They must be trained to do so. Only with the successful completion of such a training program can you be confident that a franchise location will meet your high standards.

Work With a Property Management Company

Part of managing a franchise is also managing the look of the different franchise locations. You want to create good impressions. This should include guidelines regarding what the designs and decorations of the stores should look like as dictated in your franchise model. Also, you should make sure the stores are clean and well-kept. While that should mainly be the responsibility of the franchisees, managing a franchise location requires a lot of time and effort in delivering the product itself. As such, many franchisees don’t have employees that perform handyman-type work like mowing the lawn, trimming plants, performing maintenance on the building, fixing plumbing issues, and so forth. Instead, consider hiring a property manager to help your franchisees maintain that real estate in pristine condition. If you’re not sure about a property manager, consulting the ICC top property management questions to help you determine your needs. 

Open Up the Lines of Communication with Franchisees

Over time, certain franchisees may become upset with their lot of having to exist under their franchise agreement. Part of this stems from a lack of proper communication. They may feel that the corporation does not care about their input and concerns. They may feel ignored. This is not a situation you want to create unless you want to end up losing those franchisees. Instead, make sure the lines of communication between the company and your different franchisees are always open. Respond to questions and feedback in a timely manner and integrate their input when possible. Try to schedule physical meetings between the company and franchisees so that discussion regarding the company and brand can happen in an in-person setting.

Create a Positive Company Culture

Part of the job of managing a franchise is crafting the company culture that will be adopted by all franchise locations. Give this some thought. Overall, the company culture should center on your product. However, it should also be positive in nature and focus on excellence in customer service. Customer service can help set your company apart from its competitors. If customers enjoy the experience they receive from friendly employees, they are more likely to become loyal patrons. A customer-focused culture is a must for any franchise that wants to continue to grow and prosper into the future.

Properly managing a multi-store franchise requires a lot of planning, foresight, and hard work. You need to create systems that allow customers to receive the same excellent product and service at each location. This requires creating a solid franchise model and franchise training regimen. It includes partnering with others like property managers. It requires listening to your franchisees and creating a positive customer-focused company culture. Do what you can to make your franchise a success.