The Franchise Evaluation Process and What to Look for When Choosing a Franchise
Buying a franchise is a big investment. Learn what to look for in the franchise evaluation process to be sure you make the right choice for your new business.
A STRONG TRACK RECORD
A franchisor doesn’t need to be the oldest or the largest to make a great and lasting impression, but when a parent company has a strong success rate with multiple outposts in various locations, it speaks to their sustainability — and the likelihood that you will find success with them, too.
Founded in 2006, Concrete Craft is the only decorative concrete franchise in the nation, making it a unique and lucrative business opportunity for motivated entrepreneurs. Home Franchise Concepts, a leading consortium of award-winning home-based franchise opportunities, acquired Concrete Craft in 2014 upon seeing the massive marketplace potential. In July 2021, Concrete Craft launched our 100th franchise territory, a significant milestone that demonstrates the brand’s growth.
RETURN ON INVESTMENT
It’s reasonable to assume that a franchise investment should provide a return for both the money and the work invested in the business, so calculations are more complicated than they would be with a passive investment. And the expected return is likely to be much higher. You want to see your hard work pay off.
One of the best ways to determine potential profitability during the franchise evaluation process is by analyzing Item 19 of the Franchise Disclosure Document (FDD), which outlines the business’s past financial performance as reported by franchisees. Item 19 is an optional disclosure under the Federal Trade Commission, and not every franchisor includes it. Jonathan Thiessen, Chief Development Officer of Home Franchise Concepts, calls this section “the most complex and detailed portion of the FDD. Its purpose is to ensure that the prospective franchisee has transparency in evaluating the viability of the business model from a financial standpoint.” A lawyer or accountant can help you navigate and crunch the numbers to identify the right investment for you.
A GLOWING REPUTATION
Every reputable franchisor includes franchisee validation as part of the franchise evaluation process, and many include owner reviews on their franchise development websites. You can read these franchisee testimonials to get a sense of other business owners’ personal experience with a brand. And just as you can learn a lot from current and former franchisees’ history with a particular company, public opinion speaks volumes about the success or possible pitfalls of a franchise too. In addition to customer reviews, find out if a franchise (or its franchisees) has won any awards, and for what.
All franchises, large and small, have the ability to establish a strong reputation in their community. If they haven’t done so, this may speak to a lack of involvement or outreach, something that may be a deterrent to potential owners.
Be wary of franchise systems with a long history of litigation or controversy. And even if a franchise has yet to establish a global name for itself, the best way to avoid unforeseen or future missteps is to identify a brand that strongly aligns with your personal values and approach to business.
A WINNING APPROACH
The home improvement industry has done well to sustain viability during economic downturns, even when other industries weren’t so lucky. But within a wide and varied market, some franchisors are better positioned than others. The right franchise knows how to adapt and drive interest to the services and products they provide. Concrete Craft was recently named the No. 1 Concrete Coatings Franchise for 2021 by Entrepreneur magazine. They are also ranked 379 on the Franchise 500® List and are consistently ranked as a top franchise for veterans, further evidence of the brand’s success.
TOP TRAINING & SUPPORT
You don’t need a professional background in a particular industry if you are backed by a brand that is committed to providing you with the in-depth training and ongoing support to help your business succeed. Just as you’re conducting your own evaluation, franchisors are also looking for the right franchisees — self-starters with an entrepreneurial spirit who are ready to lead a team to success. Concrete Craft is fully equipped to help you get your business up and running and help you meet your goals.
One of the main draws of becoming a franchise owner is the opportunity to work for yourself, but never by yourself. Concrete Craft provides new franchisees with both classroom and hands-on training with masters of the field to prepare you to start your business with a bang.
Our training program covers everything from administration to local marketing techniques, product knowledge and installation procedures, and more. We prepare you to open for business, but the support doesn’t stop there. Our ongoing support system ensures that you will always be one step ahead of the competition and fully equipped to continue growing your business.
Since its inception, Concrete Craft has consistently grown in franchise strength while continuously optimizing a business model that aligns with consumer needs and industry trends to offer some of the best products, pricing, and franchisee support in the industry.
As the nation’s preeminent decorative concrete franchise, Concrete Craft is a major player in the booming and recession-resistant home improvement industry. We are seeking to partner with motivated self-starters who share our passion for customer service and take pride in their work while building a better future for themselves and their families.
Explore the next steps to owning a Concrete Craft franchise today.