What Franchisors Can Learn From Home Care Franchising
by Ed Teixeira
Read what franchisors can learn from home care franchising and which
attributes are transferrable.
After completing my recent report
on the franchised home care industry it became evident that this particular
franchise sector continues to enjoy continued success and sustained growth.
There are several reasons for this success including a strong market and demand
for services. After spending a number of years working in the franchise industry
I recognize that some home care franchisors are better than others and that some
of these franchisees have failed. I also realize that there are home care
franchisees that are not fully satisfied with their results. However, despite
these factors home care franchise systems continue to grow with new franchisors
entering the scene.
There are certain aspects of the home care franchise sector that other
franchisors can learn from:
- The market for home care services is large and growing. This
provides the franchisees the ability to tap into a significant
opportunity. Although the home care market has unique features
that canít be duplicated, franchisors in other industries can
facilitate market opportunities for their franchisees by
providing large enough territories or products and services that
are appealing to potential customers. Franchisees with small
territories and a lack of demand can have problems.
- The royalty for home care franchisees is reasonable and
franchisees arenít saddled with additional fees and add-ons.
Iíve always advocated a simple fee structure for franchisees and
Iím not in favor of charging franchisees multiple fees. For
example, a fee for attending an annual convention.
- Most home care franchisors provide software to their
franchisees that enables the franchisees to operate their
business more efficiently. Across the franchise industry
spectrum more franchisors could provide the kind of software
systems that home care franchisors provide.
- The concept of a home care franchise is straightforward and
simplistic. Providing home care services is not easy and
certainly has its challenges, however, the product offering is
not complicated. Some franchisors design a franchise system in a
way that lends itself to being overly complex. In many cases
less is better.
Home care franchising is on a successful trajectory and differs from other
franchise concepts. Franchisors in other industry sectors can take a lesson from
home care franchising, ranging from the market to the franchise operation, and
apply these attributes to their own franchise operation.
© 2012 FranchiseKnowHow, LLC
Ed Teixeira is the President of FranchiseKnowHow, LLC. He
can be reached at firstname.lastname@example.org