Franchising is one of the most powerful and financially savvy strategies you can use to expand your business. As long as the business you have built meets a few essential criteria, franchising can create access to a network of investors – the franchisees -- with the capital, experience, mindset and drive for success that you need in order to scale your business. Also, adding franchise units is generally faster than trying to “grow it alone.”

Is my business a strong candidate for franchising? Here are several “must have” criteria in order to consider transforming your solo operation or multi-unit corporate-owned locations into a solid franchise:

1. The What: A Unique Value Proposition — What differentiates your business concept from competitors? The value proposition is a key component of your brand and if it isn’t already well-articulated, it will be by the time you are ready to sell your first franchise.

2. The How: A Path to Success — Franchisees seek opportunities where there’s a clear return on their investment within a certain period of time. That means, the steps to set-up and operate in a new location are well documented and the franchisee is supported with high quality training, tools, technology and resources to manage the day to day business.

3. The Why: An Attractive ROI for All ­­— A new franchisee may investigate and compare a couple of different businesses before deciding to which one they will commit their time, money and resources. One of the most important metrics is the Return on their Investment after any fees or royalties they pay to you, the franchisor. Do your numbers tell a strong story and will they attract loyal, committed investors?

4. The Who: Business Owner to Franchisor — Your role as a franchisor is far different than it was as the owner/operator of your business. Once you determine that your business model could become a successful franchise, your next step is to surround yourself with trusted professionals who bring skill sets to the table that you don’t have: Attorneys, accountants, marketing firms, real estate brokers, and others who will collaborate with you every step of the way. Together you’ll create a solid financial and legally sound platform for your franchise. You’ll also build your “business in a box” – the operating systems and manuals, branding resources, employment guidelines, tools, and more — everything your franchisees are counting on in return for their investment.

Could your business be a successful franchise?