How to Start Franchising

Five Steps to Start Franchising

Written by Ed Teixeira for Gaebler Ventures

Wondering how to start franchising? We've got some great advice on franchising from one of the nation's leading franchise consultants, Ed Teixeira.

Implementing a franchise program allows you to duplicate the successful elements of your operations and replicate them around the country with the assistance of motivated franchisees.

The process involves five simple steps:

Step 1. Establishing a Franchise Operation

Step 2. Designing the Franchise Program

Step 3. Completing the Uniform Franchise Offering Circular (UFOC)

Step 4. Developing a Franchising Operations Manual and Training Program

Step 5. Selling New Franchises

In this first part of a five-part article, we discuss Establishing a Franchise Operation.

Establishing a Franchise Operation

You should have an existing or pilot operation in place. This operation should be used to design your franchise program, establish your training and operations manual and use as a training site.

When franchise prospects visit your corporate office you’ll have an actual location to show them. Be sure that you utilize the services of a franchise consultant or advisor so that your franchise program is properly constructed.

In order to be in the position to sell franchises and fulfill the basic requirements of a franchisor you need to have a minimum of $75,000 for the project. It’s possible to do it for a less however, to begin your franchise program you should plan on this amount as a minimum.

Don’t make the mistake of having franchise documents done and then expect to be successful. There is much more to franchising.

Ready for the next step? Learn about Designing the Franchise Program.

Ed Teixeira is President of FranchiseKnowHow, LLC, a franchise consulting firm; and a managing principal in the Bridge Business Broker Franchise Company. He may be reached at (631) 246-5782 or at

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