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Why is it beneficial to have military veteran franchisees or vet employees?

What’s the deal with hiring or recruiting vets, anyway?
 

As business owners or franchisors, we often here about the advantage of hiring military veterans. The first thing that often comes to mind is taking care of those who agreed to, or actually did, put themselves in harm’s way to defend our country and way of life. Surely, however, there are many other ways to support veterans than to give them a job, right? Absolutely! I myself am a support of the Wounded Warrior Project, send care packages to deployed personnel, and occasionally pick up a tab in a bar or restaurant for a service member.

So we don’t have to give returning service people a job to show our appreciation. That then begs the question, should we be focusing on recruiting candidates with military experience to join our ranks, either as employees or business owners? In short, YES!

 

I myself am a peacetime vet (sorry for the blurry picture, that’s all I’ve got!). That means that I served my entire military commitment (U.S. Army, 13M, STEEL RAIN) in a time that this country was not at war (my time of service ended shortly before 9/11). When it comes to readiness for a position, there is some distinction between peacetime and wartime vets. The qualities I am about to explain to you that make veterans uniquely qualified apply to both peacetime and wartime service members, but in peacetime we were practicing, while in wartime what was once practiced was being executed on.

 

 
So what qualities do military veteran franchisees or employees bring to the table that you may not find as easily in other candidates?

Personal Accountability
I went in the military a little older than most, so I graduated AIT
(Advanced Individual Training, […]

How to fund a franchise

How to fund a franchise
We have helped close to 2000 people invest in franchises. We have worked with franchisors that required an all-in investment under $50K, and have done multi-unit, are development, and master franchise licenses with investments in excess of $5million. An individual’s available capital, the amount of total capital needed, as well as their other assets, credit, business experience, etc., will influence what funding types they have available. However, there are four many ways to fund a franchise; all cash, retirement funds, SBA-backed loans, and private investment.

Each of these can impact the ROI of your franchise. If you are considering becoming a franchisor, your franchise consultant can help guide you to setting up your offering to be most attractive to lenders. If you are a considering becoming a franchisee, these are several of the ways to fund a franchise that may be available to you.
Fund a franchise with all cash
This is obvious, but it deserves a place on the list. I have worked with many investors who have funded this way. The advantages of funding a franchise all cash is that the business is not laden with debt or burdened with servicing, and you are not beholden to shareholders or fighting with partners.

 
Fund a franchise with retirement funds
People often don’t realize that, for many qualifying businesses, you can use retirement funds to fund the business. You are not withdrawing the money, but rather just self-directing it, so you don’t pay the penalties that you would for early cash-out. One of the great advantages of this method is that, if your business is more profitable than you need to sustain it and your lifestyle, you can push issue the profits back to the […]

Who should franchise their business

Who should Franchise?
Many feasibility studies look at a business for franchise-suitability. They evaluate scalability, ROI, product line availability, etc. One thing they miss, however, is the business owner. They fail to ask the question “who should franchise their business?”
Should you franchise?
Are you the right person to franchise? The first thing that you have to realize is you are making a major career change. Becoming a franchisor means you will completely switch your focus from running your current business to running a franchise. If your franchise venture is successful, you will likely have to bring in other people to run the company-owned units of your business, or even sell some or all of them off to franchisees.

Do you have what it takes to be a franchisor? Do you even want to be one? During one phase in my career, I ran the day-to-day operations of a franchise organization in the video game space with 200+ franchisees. Though I was in the video game industry, my day-to-day usually had nothing to do with gaming. I spent my time responding to franchisees needs and concerns and proactively monitoring the system so I could foresee problems; I had solutions in place before the franchisees even knew they existed. Studying spreadsheets, monitoring key metrics, and facilitating business training were all part of my job, but never once did my job require me to pick up an Xbox® controller! Are you ready to switch careers AGAIN? Make sure you have through this through before you franchise!
Assuming you have the desire to become a franchisor, you must then evaluate your capital situation. Franchising is an expensive endeavor. I have seen several franchisors with a promising model come into franchising with a […]

Secure passwords through a password formula

Note: This is kind of a long article. If you just want to know how to make a unique, secure password for every site you log into, jump down to The solution
Using a password formula
So you might be wondering why a franchise blog is writing about passwords. After all, almost all of our posts talk about how to franchise a business in some way. It’s simple; regardless of your line of work, cyber security is important to you. If you are a franchisor, you likely protect your franchisees bank account information, credit card information, SSN, etc. with a password. If you are a franchisee, you likely protect your franchisor’s intellectual property, as well as your employee’s personal information, with a password. We all use them, and most people’s passwords are simply not safe. Why? There are four steps to a secure password, and I am of the opinion that, for most people, following them is impossible. Chances are you already know the four steps, so feel free to skim and then jump down to the solution if you want.
Step 1: Make it unique
This one seems obvious, but many people don’t even take this simple precaution. How do I know? Because many hacks and password dumps have shown that the top five passwords in use today are “password”, “123456”, “12345678”, “1234”, and “qwerty”. Of course, clever individuals do letter/symbol or letter/number substitution, so that “password” becomes “p@55w0rd”. This was a decent solution 10 years ago, but now this is so common that many dictionary hacking programs will try p@55w0rd before they try password! Now, to go truly unique, many people are recommending password phrases. A pass phrase would typically be something that is meaningful to […]

The Franchise Sales Process

This article is still accurate, but we have recently published The Ultimate Guide to Franchise Sales, which you may find more informative.
The Franchise Sales Process
I titled this article the franchise sales process, but this process is more accurately referred to as the mutual evaluation process. Semantics is the first step to a correct mindset about this process. You see, if you are trying to “sell” your franchise, you may end up with the wrong candidates in your system! As any experienced franchisor can tell you, one “wrong” franchisee can wreak havoc in an otherwise strong system. For a young franchisor, if one of your first franchisees is not a good fit, they can devastate your system and stunt your growth for years to come. So lets agree to call the franchise sales process a “mutual evaluation process”, shall we?
HAVING A PROCESS
The first key to a successful mutual evaluation process is to have a process! While this may seem obvious, we have interacted with many young franchisors who simply answer the phone or call the leads and talk about their brand, send out a Disclosure Document when they “feel” like the time is right, and basically provide a reactive sales experience to the candidate. The problem with this is two fold.
You are the expert
You are the expert in this business. You know (or should know) what information your candidate needs to make an informed decision in a timely manner, and how they get that information. If you are simply reacting to what your candidate is asking for, you likely will have a longer mutual evaluation process, and may well lose your clients due to lack of comfort in your brand.
You need information
Your candidate is […]