Sparrow Franchising 101


Three Great Reasons To Franchise

When a business owner starts looking to expand, they might consider some of the options available. Paths like distributorships, for instance, are sometimes viable alternatives to franchising.

The Basics of Franchising - Sparrow

So how do you know if franchising is the right way to expand your business? Here’s three great reasons to franchise and they are rooted in the very definitions of what constitute a franchise.

1. Those owning and running the outlets are required to pay more than $500 in the first six months of their relationship with headquarters.

2. The outlets are all required to use a shared trade name.

3. Headquarters exerts significant control over the ongoing operations of the outlet.

Let’s take these in order.

Reason To Franchise #1

Think about what you need to teach a new business owner about your business. How much time and effort will that take you to get them to a reasonable level of proficiency? Can you imagine doing all training, coaching and mentoring for less than $500? If not, you need to franchise.

Reason To Franchise #2

Do you want to build a brand for your business? Years from now, do you want there to be equity in a brand that is shared across all locations and known by the general public? If so, you’ll need to franchise. Full stop.

Reason To Franchise #3

And what about control? Is your business the kind of business that you can train people in and then have no input nor care regarding how they operate going forward? If you don’t stay actively involved over the long-term, do you think folks will have a reasonable chance of being successful? This question is also directly related your desire to build a brand.

If you want to truly build a quality brand, it will almost be impossible for you to do that without having considerable control over the quality each location delivers over the long term. If McDonald’s didn’t hold considerable sway over the ongoing operations of each location, the Big Mac wouldn’t taste the same from coast to coast. And if it didn’t, McDonald’s wouldn’t be McDonalds.

Need more reasons to franchise?

We have ’em. Let’s set up a time to chat. We can discuss ones that fit your exact business with plenty of examples from our experience and others. Contact us today for a FREE consultation.

Start with the basics
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This is the first stage of the process and an important one. You are learning the basics and making sure your business is even franchisable.

Here’s some of the most frequently asked questions and the answers you need to know. We offer a free consultation and no question is off the table.

What is a Franchise?

At its most basic level, franchising is simply a specific form of distribution for goods and services.  But that’s a pretty generic and wholly unhelpful definition. So let's dig a little deeper...

Find out a lot more here >

Why should you Franchise?

With other expansion options available, how do you know if franchising is the right way to expand your business?

Find out a lot more here >

Alternatives to Franchising

There are other options to expanding your business other than franchising.

Find out about them all here >

Is my business Franchisable?

You have a successful business and you’ve decided you want to franchise it. How do you know if your business would make a good franchise system?

Find out here >

How to Franchise a business

A good franchisor should train, guide and support a franchisee in every aspect of their business. That means a good franchisor’s training and support infrastructure will never stop expanding and evolving. But, when you start, here are the 6 foundational pillars you’ll need to legitimately consider yourself ready to franchise.

Learn the 6 foundational pillars to franchising >

21-page guide to franchising your business

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Our free 21-page ebook will guide you through all the recommended and required steps you need to franchise your business. We simply ask for your name and email to send you the link immediately. We promise no spam or annoying emails, just the plan to expand your business.

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