How Can We Choose A Franchising Company?

Loyal to the brand, the successful mature brand is how many years of exploration, the results of several generations of accumulation, do not change easily: steal shop workers, reduce the amount of materials, raise the price, omit the process, ignore the links, are absolutely impossible.

Nowadays, all walks of life will have franchise forms. This new form of business has been recognized by many investors and entrepreneurs in China.

But facing the dazzling chain project, how to choose a reliable chain leader becomes the key to success or failure. This article will guide you how to choose the right leader.

1, don't trust it.

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A member who I know, a friend who introduced a French perfume company leader, finally decided to see what he promised and what "the lowest price in the country" and what "unconditional return" would be.

What's the result? When the goods arrive, the goods are found to be small and the damage is serious, especially the packaging. It seems that they do not know how many times they turn around.

When entering the market, it is found that the price is obviously higher than that of the shopping mall. When asked to return the goods, the other side said, "the goods are damaged and cannot be retreated".

When choosing a leader, such commitments should be careful:

A, guarantee gross margin.

It is merchants who join the company to make a commitment to the gross profit ratio of the month or year to the franchisee.

Anyone who has such a commitment must know whether the headquarters has the POS system, that is, to control the operation of the franchisee from the supply to sale by making strong invoices.

Without this system, the promise of gross margin is unreliable.

B, authorized by money.

Attention should be paid to such an alliance.

I know that the big, regular franchisees have an eligibility procedure for the franchisees.

Not only do you require funds, but also your business experience to prove your management skills.

C, extra high returns.

There are many advertisements, such as "twenty thousand yuan to join, return to the same month", "invest 60 thousand, earn 600 thousand annually".

Anyone who has experienced industrial experience knows that a legitimate business can not have such a high return.

Even if headquarters provides model management (long for a year), it may be flat in the first few months.

D,

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That is to ask the franchisee to pay all the funds during the contract.

Such a requirement is contrary to industry practice.

Most franchises are paid once a year, and there are also seasonal and monthly payments.

No matter how he explains, for example, how much discount he can make at a time, do not accept it easily.

2, we need to investigate in person.

In the same year, a lesbian who was doing chemical business like me went to Hongkong to study McDonald's, which opened her eyes to the eye. I felt great emotion: the brand without doubt, the standard system of ensuring the quality of others, the procedure of successful operation of the cargo supply system is amazing.

In particular, the strict choice of franchisees: 8 million yuan, business ability, and so on, is that she does not have these two main conditions, but failed to talk about it.

The main points of investigation are:

A, carefully examine the other party's relevant documents: legal person qualification, registered trademark, patent certificate, business model, technical know-how, business performance and so on.

B, pay close attention to the various cost terms: the membership fee and the payment period.

Special attention should be paid to the expenses, reasonable or not, types of fees and basis of fees other than franchise fees.

C, clearly giving investors power: what investors should or must get: business skills, business secrets, training of starting money, preparation guidance before opening stores, new resources and information sharing, and supply of related goods.

D, a direct inspection has been made.

Shop: you can ask them to provide a list of all the franchisees, and then visit them in person.

It's best to go in for ten days, half a month or even longer.

Or pretend to be several roles to understand the situation.

The simplest way is to consume as a customer and feel it all.

Do you have any idea?

Finally, it must be understood that choosing a good industry, brand and leader is very important, but we can not think that we can sit back and relax, sit back and wait for money, or devote ourselves to every detail.