Franchise or Fizzle Franchising remains a key growth strategy in the UK across diverse sectors. Farrah Rose from The Franchising Centre UK advises aspiring franchisees to align their choices with personal strengths, secure strong financial backing, and thoroughly research franchises, including talking to existing franchisees.

Since the 1970s, franchising has been a go-to growth strategy in the UK, and it's still a major player today. British brands across food, hospitality, retail, and services thrive with this model, and international companies see it as the perfect launchpad into the UK's dynamic market. Whether expanding locally or venturing into new territory, franchising remains a powerful route to success.

For those new to franchising, Farrah Rose, International Franchise Director at The Franchising Centre UK, offers practical advice to navigate this exciting venture.

1. Know yourself "Identify your likes and dislikes before choosing a franchise concept," Rose advises. "It's crucial to select a franchise that aligns with your skills and interests."

2. Be financially prepared "Ensure you have sufficient capital to invest," she emphasises. A strong financial base is thus essential for covering initial investments and ongoing costs.

3. Do your homework "Search for franchises on your local Franchise Association website," Rose recommends. "Check if they are members of their respective associations, as this can be a sign of their credibility."

4. Engage with franchisors "Contact the selected brands and meet them in person," she says. "Gather as much information as you can about their track record, business model, financials, training and support, and the terms of the franchise agreement. It's important to work with franchisors who invest time in helping you make an informed decision."

5. Seek external opinions "Talk to industry stakeholders—banks, franchise associations, and franchise consultants," Rose suggests. "Even reaching out to franchise lawyers can give you insights into the franchisor's reputation."

6. Speak to existing franchisees "Get in touch with current franchisees to hear about their experiences," she advises. "Their feedback can provide a clear picture of what it's like to work with the franchisor."

7. Conduct market research "Investigate the demand for the franchise concept in your area," Rose recommends. "Understand the market potential, competition, and logistical aspects to ensure the venture is financially viable."

8. Prepare a solid business plan "Develop a comprehensive business plan and make sure you have enough capital to fund the venture without risking your family's financial stability," she warns. "Avoid stretching yourself too thin."

9. Recognise the risks "Franchising reduces the risk of failure compared to starting a business from scratch, but it doesn't eliminate it entirely," Rose cautions. "Be prepared for hard work and enter the venture with open eyes."

Related:

What Makes a Franchise Successful?

Looking at successful franchises like Pizza Hut, Rose also highlights several key factors that contribute to their achievements and growth.

1. Proven success "A strong track record before franchising is crucial. A history of success builds credibility."

2. Robust systems "A tested and refined operating system is essential," Rose adds. This step therefore ensures consistency and efficiency.

3. Sufficient resources "Franchises need adequate resources to support their operations."

4. Long-term vision "Commitment to a long-term strategy with a matching budget is important."

5. Replicable model "The franchise model must be easy to replicate. This allows for consistent quality across locations."

6. Financial viability "A financially viable model benefits both the franchisee and the franchisor," Rose points out.

7. Strong supply chain "Effective supply chain logistics are key to success."

8. Protected brand "A protected trademark is essential for maintaining brand integrity."

9. Defined franchisee profile "A clear profile for selecting franchisees helps ensure they're a good fit," Rose adds.

10. Excellent support "Comprehensive training and support are vital."

11. Effective marketing "Network marketing and staying ahead of trends through regular updates are crucial," she explains.

12. Resilience "Finally, stamina and resilience are important when facing challenges," she concludes.

In essence, franchising in the UK remains a robust business model in 2024, provided prospective franchisees conduct thorough research, ensure they have the necessary resources, and choose a franchise with a solid track record and strong support system.