If you’re thinking about becoming a franchise owner, there’s a lot of due diligence you’ll need to complete in order to determine the right path for you. In addition to researching the best choices for your budget and the industries that suit your skills, it’s also important to understand exactly what you’ll do as a franchise owner. Many people who are interested in franchising have run a business before and have a general idea of what the day-to-day is like, but because you’ll be working with a franchisor and operating your franchise within their business model, the responsibilities may be different than what you’re used to.
Read on to learn more about a franchise owner’s responsibilities.
What does a franchisee do?
In general, a franchise owner’s responsibilities are pretty similar to those of any other business owner. The main difference is that you’ve entered into a license agreement with the franchisor, which means that you’ll be using their branding, proprietary procedures and products, and service marks. You also won’t have to spend much time developing a business model, because that work will already have been done for you. Instead, your main responsibilities include:
- Financing the purchase of a franchise
The first thing you’ll need to do is make sure your new franchise is paid for. Beyond the initial franchise fee, you’ll also be responsible for royalty payments over time. With DUCTZ, you can expect the initial franchise fee to start at $49,900 for most markets. New DUCTZ franchisees are also responsible for a $35,267 initial package fee, which covers the cost of clothing and promotional materials, safety supplies, training and certification, our innovative KickStart marketing package, HVAC equipment, coil cleaning equipment, dryer vent cleaning equipment, tools, and NADCA membership. The initial package fee does not cover the cost of your service vehicle, which will cost $72,200 on the low end and $82,200 on the high end.
- Hiring and training employees
Although you’ll receive tips on best practices for hiring during your training, it will be up to you to hire employees and train them. Many franchisors will offer training for higher level employees, but you’ll have to make sure that entry-level employees have the training they need to hit the ground running.
- Overseeing day-to-day operations
The franchisor will expect certain procedures to be adhered to daily, weekly, and monthly. In order to fulfill your end of the licensing agreement, you’re responsible for making sure that the franchisor’s systems are in place and being followed to the standard they require.
- Protecting the brand
As a franchisee, you’re a representative of the franchisor’s brand. It’s crucial that you and your team avoid participating in any behavior that might tarnish the franchisor’s reputation with potential customers.
- Attracting a customer base and generating revenue
Your bottom line is important, and you can’t grow a business without customers. While you’ll receive training and support on the best way to market your business, you’ll be the one getting the word out.
Depending on what your franchisor requires, you may also be expected to participate in retreats, conferences, and regular training. Be sure to clarify what is required of you before signing your agreement.
What does the franchisor do?
With all of that mind, you might be wondering what the franchisor is responsible for. While the situation will vary depending on the company you choose to franchise with, in general, you can expect the following from any reputable franchisor:
- A proven, scalable business model
- Training, support, and resources for franchisees at every point in their ownership journey
- Business development opportunities, such as multiunit deals
- Marketing and advertising support
- Sound business advice geared toward helping you grow your franchise
It goes without saying, but if any company you’re considering doesn’t offer these things, you may want to look elsewhere. The franchisor’s role is to help you succeed.
Why should I choose DUCTZ?
At DUCTZ, we’re committed to doing everything we can to ensure that all of our franchisees are running thriving businesses! From our best-in-class training and support to our nationwide network of franchise owners, we give our franchisees the resources they need to be successful. We’ve worked hard to make owning and operating a DUCTZ franchise as simple as possible.
For a scalable, recession-resilient franchising opportunity in the home services industry, choose DUCTZ. Give our franchise team a call today to get started!