Experienced franchise players can continue their success and those new to franchsing can ensure a bright future.

By Linda Burzynski, CFE
 
There’s no doubt the economy, lack of capital and limited access to loans are having adverse effects. Though the golden parachutes of decades past are now just a memory, franchising will make a comeback because of prospective franchisees’ drive to succeed.
 
There’s a franchise for any investment level and they all offer proven business models that this country will   always need. If the capital isn’t available, people are going to get creative in their financing methods. I am a huge believer in our country and though I know it won’t happen immediately, I think franchising is the best scenario in restarting the economy.
 
Here are five tips on how experienced franchise players can continue their success and what those new to franchising can do to ensure a bright future: 
 
1. Renegotiate Your Lease:
Landlords know that now is not the time to be in search of new tenants and therefore will be more apt to alter the terms of an existing lease to keep a reliable tenant. Start with a lower offer than you think your landlord would agree to and use it as a jumping-off point toward an acceptable rate for both parties. The same goes for people looking to rent their first space: If a landlord has a site to fill, he will usually consider any reasonable offer. In the same vein, consider revisiting bank and credit card fees or outsourcing functions like human resources and information technology as well; not everything has to be done internally so if there are better rates out there, take advantage.  
 
2. Embrace Technology:
With some franchisors having hundreds or thousands of franchisees around the world, utilizing the latest technology is essential in keeping the lines of communication open. Webinars in particular are a great way to disseminate necessary information to all franchisees at the same time and keep all parties in the loop regarding new initiatives. An added bonus of these Web-based services is that a one-year subscription is often less than the cost of one plane ticket, meaning funds once allotted to travel can be channeled into other aspects of the business. 
 
3. Evaluate Your Team:
Regardless of the economy, a business can’t afford to carry unproductive staff members. Take the time to examine job   descriptions and performances; if one person isn’t pulling his weight, he could be putting the entire operation in jeopardy. Put personal relationships aside and do what’s best for the business by parting ways.  
  
4. Pay More Attention to SEO:
Search engine optimization is an incredibly cost-effective way of marketing a business online because it is based on key words and phrases designed to drive qualified and unique visitors to your Web site. Sites that employ SEO properly often experience much heavier traffic, a definite leg-up when attracting potential franchisees since Jupiter Research reports 81 percent of all Internet users find the sites they are looking for through search engines like Google and Yahoo! As for potential franchisees looking for the right concept, they can be certain opportunities that continually come up first in searches have a handle on SEO and should feel confident in aligning themselves with an organization savvy on this growing trend.  
 
5. Spend Money Where It’s Needed:
Whether it’s sales, marketing or anything in between, if there’s a specific area where your business could use improvement, allocate the funds necessary to remedy the problem. If your sales team is struggling, for example, provide higher quality resources for leads or if one of your best employees is wearing too many hats, consider hiring a part-time associate to lessen his load and direct his focus back to the most important tasks at hand.

Linda Burzynski, CFE, has served as CEO of Liberty Fitness and CM IT Solutions, president and COO of Molly Maid and senior vice president of operations for INTERIORS by Decorating Den. She is currently CEO of Austin, Texas-based VL Service Corporation. She can be reached at 512-288-8855. 

Source: IFA