How to Qualify to Buy a Franchise
This page will assist you in learning about qualifying for your franchise. There are a number of variables that you will be judged upon when you meet with a franchisor to qualify to buy one of their franchises. While it’s different for every franchisor, there are at least five key variables that most franchisors must give you a passing grade on to entrust you with a new franchise. Here they are:
1. You must fit their corporate culture.
Corporate culture refers to a sense of how a company feels about various political, charitable and social viewpoints. While this can certainly vary by franchisor, generally it will be a corporate commitment, either outright, like Chick-Fil-A, or more of a guarded style like many franchisors who don’t place those causes or issues front and center. Learn more about investigating franchise cultures.
2. Have a copy of your DISC Assessment.
This free DISC Assessment lets you determine your DISC type and personality profile in just a few minutes. Franchisors observe how the DISC factors, Dominance, Influence, Steadiness and Compliance predict your behavior towards others and the everyday things you do. The franchisors want this information about you before you start qualifying for your franchise.
3. Meet Their Financial Qualifications.
Each franchise, as well as lending institutions, has financial requirements of each potential franchisee. Variables like minimum net worth, ability to meet cash requirements, sufficient credit scores, and minimum cash reserves are among the requirements that may hinder or enhance your ability to buy a franchise.
You can easily begin this qualification process by completing the Financial Profile Builder form. Make sure you email a copy to yourself after you’re done. You cannot successfully complete the franchise qualification process without having this information readily available. Sid Lee will be forwarded a copy upon completion, so he can help you determine the best pathway forward.
4. Log Your Education & Work Experience.
Many franchisors actually are indifferent about requiring that their candidates have prior experience. Some prefer their candidates not to have prior experience at all. Many of them would rather train you fresh than have to overcome previously formed bad habits.
Similarly, while an education is important, for many franchisors an ivy league diploma may not make that much difference. This is information an advisor will help you uncover in your pursuit of your first franchise. Complete the Education and Work Experience form and have a copy emailed to yourself. Again, Sid Lee will be forwarded a copy as this information is vital for him to help you find your ideal franchise.
5. Ultimately, You’re Going to Want Them to Like You.
Similar to a fraternity or sorority, you are in a competition to be accepted by the franchisor into their exclusive group of franchisees. Like it or not, things that may seem like minutia to you may be very important to the franchisor. Things like, do you listen well, do you follow directions to the letter or do you like, respect and enjoy working with others. In the end, a professional advisor can help you understand what is, and what is not important to the franchise organization you are looking to be a part of. Enjoy the journey!
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“Getting pink slipped should not be the worst day in anyone’s life. It should be considered a gift, the gift to step out and experience what the rest of the world knows. The rest of the world sees the USA as the land of opportunity.” –Sid Lee