How do you choose a restaurant franchise?
It is a choice that is not made lightly, and that will depend on several key factors, notably financial and geographical. In this article we offer you will know more about the different steps to follow.
Carry out a market study
First of all, you need to carry out a serious market study, and above all, you need to know your catchment area well, i.e. the geographical area surrounding a sales outlet in which potential customers are located. This is essential in order to make a choice among the possible locations. The potential of the catchment area depends on several factors: the number of inhabitants; the sector of activity; the number of competitors and their locations; the attractiveness of the area already in place. This study is crucial. You should not hesitate to seek the assistance of an expert when carrying out this study. For more information, learn this here now.
Choose the most appropriate concept
The panel of food brands offered under franchise is varied. Study the different offers and locations available, and define the most suitable brand for the target catchment area, depending on the presence of competitors, your own sensitivity and your total contribution / financing capacity.
Draw up a business plan and study your financing capacity
A business plan serves as a reference for the construction and evolution of your restaurant project. It prepares it, and presents its objectives, and the means to achieve them. It is a vision for the years to come. A franchisee must necessarily have a financial contribution, which may be personal funds, but also aid allocated to business creators. This can be a loan of honor, a subsidy (by the regional council) but also a continuation of unemployment benefits.
Evaluate the 3-year financing plan
You know your financing needs, the profitability of your project, the necessary cash balance, now estimate your viability in 3 years, keeping in mind that you may have to make other investments before then. Use this model to ensure that you do not forget any items.