There are few other options to generate a meaningful income stream, besides a career, than business ownership for most Americans. But how does this transition actually happen?
Many see business ownership as an answer to meaningful income generation, and quickly realize following a franchise template can be an answer to business ownership.
Whether leaving a corporate career, or continuing your career indefinitely, while you build a business, the transition itself to profitable business owner is the new challenge.
Anthropologists call this a liminality – or transition between two ‘states’, usually involving a certain degree of disorientation and ambiguity. Rite of passage is the colloquial term.
Our Franchising: Decoded and Demystified guide seeks to provide an orientation and solid handhold in this transition, yet a transition it is. At the precipice is where most business ownership ambitions stall.
Orientation in the Transition
Here are some ways you can see more clearly to the other shore and make your journey with more visibility confidence.
The hesitation around the transition is really about reliability. Can I rely on the concept I’m examining and related launch plan to actually get me to my new ‘state’?
It’s why the ‘semi-absentee’ term is used frequently these days when selling franchise concepts. Keeping your primary income source, while you build a business is a way to offer mental comfort and a perception of risk mitigation during this transition.
(There’s another blog post on this. In some cases it’s true. But not all. And with your current set of evaluation tools, can you really distinguish which concepts are suited for it and which are not)
Imagine standing at the edge of a lake. You’re on one shore representing your current situation. On the opposite shore is your new situation: Your goal of an operating business with sustained profitability. You need a reliable vehicle to get you across the lake. In this case, the vehicle is the franchise concept you choose.
Franchising: Decoded & Demystified is about determining the reliability of a concept to get you from your old state to your new state. Using our lake metaphor, is your concept a speed boat, raft or is there no boat at all and you’re swimming the entire way? And are there submerged obstacles you are unaware of?
If you can tell that the boat is sturdy, fast, and has a depth finder and compass, you’ll have confidence it will safely transport you to the other side.
The transition also relates to your motivations
Part of this also has to do with your motivations. If you see business ownership as an escape from your current professional situation, your motivation can undulate with your mood on a given day.
If you see business ownership as a pure cash-flow play, with little or no emotion involved, you’re looking for an existing business arrangement in high demand and cost structure to match…or a toad with lipstick.
If you want to get into business ownership but are not willing to accept the risk, or effort, associated with opening a business, then you may never take the leap. No-risk, no effort franchise opportunities simply do not exist. And the ones that appear to be no-risk are probably the most risk-fraught.
If you view business ownership as a means to a lifestyle-objective end, the only piece missing is confidence in your boat.
The Franchise Evaluator – Evaluating your Boat.
For this last person, the Franchise Evaluator can help. Once you determine the aspects important to you and evaluate the concept through that lens, the opportunity may very likely present itself.
Ultimately, you must decide your drop-in point. Do this by establishing what levels of risk are acceptable and what targets you are seeking in each factor of your Franchise Evaluator. Also, it is critical to make sure any partners and spouses are on board. You will need their full support!
Remember, there is no such thing as an “easy,” “sure-fire,” or “risk-free” franchise opportunity. There are only opportunities meeting your unique criteria and risk threshold.
Once you have evaluated a franchise concept properly, to the very best of your abilities, and all of your objective criteria have been met, then you can allow your emotions to enter into the process. That is truly something to be excited about. At that point, if it feels right, take the step and run with it!
Have a concept evaluated using our Franchise Evaluator method. First concept evaluation FREE! Schedule one here.