How prepared do your systems need to be?

Is your business in the position to franchise? If you have a business that has a unique selling point, is easily replicable, has been running for more than a few years, is profitable and you have a desire to grow, then it might be time to consider franchising. Before you start the franchise process you will need to establish a structure that can be readily employed by franchisees, this means there needs to be systems across all of your business streams that are documented, tested and replicable.

Understanding how prepared your systems need to be for franchising.


The question is, how well prepared do these systems need to be? Surely a franchisee can help to develop some of the operating processes or training documentation? The two biggest failures of a franchise system according to Smart Company are 1. Poor business models and 2. Lack of adequate training and support.  


Imagine chinese whispers on a larger scale! A proven business model will only be successful when there are adequate systems and processes in place to support ease of operations and replication. This includes how daily operating procedures are imparted to the franchisee and their staff to ensure consistency in the provision of services to customers. 


Reliable, functioning processes


Franchisees will rely heavily on processes, particularly during the initial phases of their business. As they bring their franchise to the market, their success will be hinged on how well they can replicate your success.  If a process is flawed, they could stumble, struggle operationally and lose confidence in their ability to achieve the outcomes they expect from investing their time and capital into your franchise. This ultimately impacts your brand and the overall success of your network.


Presenting to future franchisees

New franchisees are looking to reduce the risk of developing their own businesses by buying into a well established business. The presentation of your business model is extremely important in the selling process. 


Potential franchisees will need to see a comprehensive set of operating, training and procedure manuals, clearly presented and easy to understand. It is recommended that these manuals be presented in hard copy as well as via an accessible online method such as an intranet, app or website. 


These operations manuals are also important for the franchisor as they create the foundation to monitor and enforce operational compliance of your franchisees


Four Key Areas


Typically business models have four key areas that make up their business operations:

Labour (how you recruit, induction and training, how many employees) Equipment (what equipment is required to run the business, how it is purchased and serviced, key partnerships) 

Location (where the business is located physically, is it online, mobile or bricks and mortar?)

Process (what are the day to day tasks required in order to run the business successfully)


Evolving & updating materials


It is important to understand that your operating  procedures are evolving over time, and you should implement a strategy to continually monitor and improve your operating systems. 


Over time it is expected that you  will update your products or brand, your suppliers as well as processes and systems. The Operations Manual is a developing document that can (and must) be updated to represent the most current practices and policies in the business.  Establishing compliance, including a review structure is essential to the ongoing operation of your business and presentation of your brand. 

Establishing your systems with a DC Strategy Consultant


The benefits of working with a DC strategy consultant is that we will work with you to examine each of the key operational areas. We will help you to create and document the benchmark for your business operations. We will ensure that you have the documentation in place that is necessary to recruit and support your franchisees. 




If you’re looking to grow your business by franchising, contact our franchising consultants for a complimentary 20-minute assessment. We’ll help assess the readiness of your business for franchising and further explain how our franchise development program works. Fill out our contact form on to get in touch today. 


DC Strategy has over three decades of experience and is looking to the future as we take businesses and grow their enterprise value through franchising. In our newsroom you can find news on franchising, marketing, recruitment and business information, legal advice for businesses and information about franchise opportunities.


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