FlagFranchise is a tool designed to help franchisors be more effective in their recruitment process, through a technology that targets and identifies potential franchisees that fit your needs with regard to 7 analysis criteria, such as budget, skills, experience, entrepreneurial profile, affinity with your chain from a lifestyle perspective, and values.
The tool allows franchisors to expedite the evaluation of applications received in order to focus on the franchise candidates that are truly compatible with the network. As a result, the franchisee and the franchisor are committed to a common goal—to serve the customer and deliver better performance, thus promoting the growing profitability of the network. It is as though you have a team of professional recruiters at your disposal who continuously evaluate thousands of applications and only suggest candidates who fit your needs.
Identifying the Ideal Profile
Establishing a network requires a significant investment of time and money. Everything must be developed—documentation of practices, establishment of available resources for franchisees, terms of contracts, and so on. This business model has many benefits, as it accelerates expansion and shares risk between those involved, but it also requires a significant amount of work to develop the right tools and put the right people in place to support the network.
However, in order to enable this growth and attract a decent number of franchisees who are able to bear the fixed costs associated with creating and maintaining the network, new franchisors who have just started out are often tempted to accept any applicants who are able to finance the franchise, and fail to assess other important criteria. This often results in long-term negative impacts.
According to Greg Nathan, founder of the Franchise Relationship Institute, 40% of the success of a franchise, provided that the franchisor's concept is well-known and profitable, is dependent on the talent and hard work of the franchisee, which is why it is so important to select the right candidates.
The relationship between a franchisor and a franchisee can last up to 20 years, depending on the terms of the contract. Imagine how long and difficult these 20 years would be if the franchisees in your network did not have the same vision, the right skills, and values that are consistent with those of the network. A serious consequence of questionable choices of franchisees lies in such franchisees' inability to deliver the desired client experience once they are in business. It is a major challenge for today's chains to provide customers with a similar experience across the network. A poor choice of franchisee may also result in legal issues; costly and trying legal proceedings may adversely affect your relationship with your best franchisees and may even affect the way that your customers perceive your brand's reputation.
Although new franchisors often neglect this step, determining an ideal franchisee profile and implementing a franchisee selection process for the network is of the utmost importance.
FlagFranchise is a tool that helps new franchisors reflect on the skills, personality, and profile of franchisees that are most compatible with their network, to determine, from the start, which franchisees have the best chance of succeeding.
FlagFranchise also allows you to attract franchisees who, otherwise, may not have been aware of your chain. The algorithm automatically determines the benefits of each franchise network and presents such benefits to potential franchisees based on their priorities. For example, it could showcase the geographical location of a franchise that is close to the candidate's home or build on possible strong affinities (values and interests) that are shared by the franchisor and prospective franchisee. Simply put, regardless of the size and reputation of the network, the strengths of each franchisor are presented according to rational facts that are based on the following satisfaction criteria specific to each prospective franchisee:
- Budget for initial franchise fees, start-up costs, and working capital;
- Expectations of support to be provided by the franchisor;
- Management-related and other skills and experience;
- Similar values to those of the network, and strengths that correspond to requirements;
- Entrepreneur profile: the right amount of entrepreneurship for your brand;
- Desired lifestyle; and
- Desired location.
Prospective franchisees could thus more easily understand why it would be beneficial for them to apply for one franchise network over another.
Effective Recruitment That Drives Franchise Networks Forward
To make the process easier for franchisors, the FlagFranchisee application automatically handles:
- Publishing the business opportunity on various advertising platforms and social networks;
- Receiving, organizing, and sorting CVs; and
- Analyzing each prospective franchisee's potential compatibility with the franchise.
In addition, through the new information provided about each candidate's budget, expectations, affinities, values, interests, and requirements, franchisors can identify the potential franchisees who would have the highest level of satisfaction with their business opportunity and, therefore, would be the most committed and successful. For franchisors, it results in better cohesion between the network and future franchisees, leading to a more trusting relationship, a higher retention rate for franchisees, satisfied customers, and improved performance and profitability of the network.
For All Budgets
FlagFranchise is specifically designed to help franchise networks, while respecting their budgets; several packages are available that adapt to growth curves. Although FlagFranchise provides a number of innovative features, its rates are comparable to most traditional directories, and it also offers a range of additional tools, including best practices for selecting candidates.