Murphy’s Law is well known among business people. Attributed to Neil Maskelyne in 1908, it states that: “Anything that can go wrong will go wrong”. I have observed that when it comes to franchising, Murphy’s Law comes into play more often than desired. In many cases, a new franchise takes off slower than anticipated and the franchisee has to look for a way to remedy the situation.
Despite the due diligence that a franchise candidate may perform in a new franchise, there is a risk. Like any new business ventures, franchising is not immune to unanticipated problems. To prepare for Murphy’s Law; a franchise should prepare for potential setbacks.
New franchisees need to prepare for potential problems before launching their new franchise. When it comes to franchising and Murphy’s Law, the two often go together. In order to avoid having problems with a new franchise, it is valuable to follow the five tips outlined above and avoid being victimized by Murphy’s Law.
Before a prospective franchisee invests they must review the information disclosed in the Franchise Disclosure Documents.
When franchisors strategize their system growth, the major focus is placed on the amount and quality of their franchisee leads.
In the franchise industry, franchisors can view comparisons and relationships between consumer satisfaction for the products or services a franchise offers.
In a recent study by the research team at Franchise Grade has indicated that 71% of franchise systems have 100 or fewer franchise units.
A good consumer experience is not a reason to invest in a franchise. It skews the decision-making process of a prospective franchisee from start to finish.