One of the major benefits of investing in a franchise is the training offered and the technical and business skills acquired during these sessions. “Good” franchisors look at training as the means to ensure franchisee success and a good return on their investment.
Training basics
Most franchise training programmes kick off with intensive basic training in a classroom setting at the franchisor’s headquarters or a regional training facility. The history of the sector, product or service offering, as well as the product’s positioning in the market should be covered here.
Competitors are a significant threat to your success as a franchisee and comprehensive training programmes will look at the opposition’s strategies, products and services.
Looking at the business itself
The training programme should also focus on the business itself and the specific product or service being sold. Apart from operational factors, business management as well as promotions and positioning should be discussed. The most important aspect of any business is the financial management and training should cover cash flow, annual accounts, tax and VAT.
Franchisors should focus efforts across a broad range of training disciplines, but the reality is that many don’t.
Operational and technical skills are usually the first, and sometimes only, areas that franchisors consider when training their franchisees, but business management is an important element that should be included. Business owners trained in the management of cash flow, stock control and the correct handling of debtors and creditors have a greater chance of growing the profitability of the business.
If you think you fall short in this area, make sure to find out early on if financial training is on offer and how in-depth it is. If not, you should look to obtain these skills yourself and approach your franchisor to see if he is prepared to meet some if not all of the cost of this additional training.
All the theory and basic requirements of the initial training phase should be captured in a comprehensive operating manual and in various supporting reference manuals where applicable. These documents reinforce the training and can be referred to on an ongoing basis.
The operating manual should detail the standard of operations expected from the franchisor and describe every step franchisees need to take in the development and operation of the new business.
Most franchisors will issue the manual when training starts, but it will be a good idea to see it as part of the disclosure process of the franchisor.
You need ongoing training and support
The duration of the initial training varies from brand to brand and could last anything from one week to three months. A good training programme should go beyond theoretical training to offer on-site practical training and ongoing support.
The type of business you are in will dictate the form of the ongoing training and support. For instance, your franchisor could send area managers or other franchisor representatives to spend time in the store to provide hands-on training. Newsletters, networking meetings, internet sites, evaluations, tollfree phone numbers, roving field operators or additional training sessions – when new products or services are released – may also be part of the package. Make sure you know exactly what is on offer early on.
Do your homework first
Franchisees should interrogate the franchisor, as well as existing franchisees, to find out the extent and efficacy of the training included in the franchise package.
Find out whether there is a dedicated training person or department, since training can easily fall by the wayside if it is not given somebody’s full attention. Also check if training of new staff members is part of the ongoing support package. Staff turnover is a huge factor in franchising and franchisees often battle to keep a good team as they don’t always have the time or ability to train new staff members.
Prepare for the training
Once you’ve invested in a particular franchise, it is important to prepare yourself for the training. Research what will be expected of trainees and always take notes in order to get the most from the experience.
Ask as many questions as you can and use the sessions to get as much free advice as possible.
Most franchisors welcome supplementary training and recommend franchisees do some form of personal development training at least twice a year. Any external training should, however, be approved by the franchisor in order to avoid spending money on training that is contrary to the brand’s operating procedures. This is especially true for customer service training.
By doing your homework and asking the right questions of prospective franchisor and existing franchisees, you can ensure that the franchise package you are interested in offers sufficient, quality training to ensure the initial and long-term success of your new business.
*This is an extract of an article that first appeared in Your Business Magazine.
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