Saturday, December 13, 2008

Startup Tips Series: Fundamentals of Franchising by Armando Bartolome (Part 2)

Subtitle: What are some things to consider before getting a franchise (aside from the money :-))

Note: This is PART 2 in a series of posts on Start Up Tips: Fundamentals of Franchising by Armando “Butz” Bartolome. The full series is PART 1, PART 2, PART 3, PART 4, PART 5 and PART 6.

PART 2, Mr. Bartolome talked about some of the things to consider before getting a franchise. Just how do you choose a good franchisor? Is it always a good idea to get big name brands?

Here’s PART 2 of Bam’s interview with Mr. Armando Bartolome:

(START OF INTERVIEW – PART 2)

BAM: Ok, how do I choose a good franchisor? Do I just choose the big brands? Usually the big brands have very big price tags connected to them, and then you have a slue of other smaller brands which, you know, aren’t really known but are offering franchises to people. How do I choose?

BUTZ: Well, I always tell people, “Don’t look at the price. Look at the belief in the product or service.” Go to there store. Check it out. Find out whether you will fit into that, into that picture of managing that business.

Fundamentals of Franchising: When looking into franchise options, look at a company’s product and the service to see if your interests fit into the business. (Source: Start Up)

You have to have a belief. You have to have that strong (confidence?), because if you’re not, and you’re just there for the investment, forget it. Ok. So that’s one.

The second is, look at the franchisor. Is he really that active? Is he really supporting his franchisees? And the management of the franchise, a, talk to the franchisees, and this is common, no, and, I always tell fran, people looking for a franchise, don’t look at just what people say, ok, go to the franchisees themselves, talk to them, find out, are they happy? Will they get another franchise? If ever given another chance, will they go to that business? Ok.

Fundamentals of Franchising: Talk to the franchisees and ask about their experiences. (Source: Start Up)

And the investment, you know, there’s so much, so many banks right now offering for, a, people, a loan package to get a franchise.

Banks now offer loan packages for franchises. (Source: Start Up)

And that’s the beauty of it right now, the new, the new, the good news that we have right now.

(END OF INTERVIEW – PART 2)


Things we can learn from the interview…

Mr. Bartolome’s things-to-consider-before-getting-a-franchise

• Don’t look at the price in choosing a franchise, instead, look at the belief in the product or service.

• Do some research before getting into franchising. If interested in a particular franchise, Mr. Bartolome advised: “Go to there store. Check it out. Find out whether you will fit into that picture of managing that business.”

• Don’t get into franchising just for the investment.

• Look at the franchisor. Make sure that the franchisor is active and is supportive of his franchisees.

• Talk to the franchisees and ask about their experiences. Ask them what they think of the franchise. Are they happy with the product? Will they get another franchise if given another chance?

2 comments:

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