When looking for a personal training franchise opportunity there are important questions to ask that will ensure you have selected the right franchise. Before you begin your search you should have a business plan that shapes your vision of the personal training business that you want to own. When you have done this sitting and comparing the franchise statement to your business plan will be a great way to know whether or not the personal training franchise is right for you.
Does the business concept match?
If you have written your business plan then you have a solid idea of the business concept that you will craft. The question is whether or not the business concept of your business plan and the concept that the franchise has crafted match. This is probably one of the more important questions to ask yourself for a two reasons.
If you have envisioned a business in which you host fitness classes and the business concept of the personal training franchise opportunity is one in which you train individuals then you will not be happy. If you want to train individuals and the franchise is for boot camp style classes you probably won’t be happy.
This concept will not be flexible. When you purchase a franchise you are buying the business model. You cannot change the model at will because of franchising contracts. If your vision is vastly different then the franchise statement then you should find one that better fits your goals.
What are the financial features?
You need to know the financial features of the personal training franchise. If you are unaware of the sales, profit, cash flows and return on investment then it is likely that there are gaps in the research you have done or in the information that the franchise has provided. If numbers provided by the franchisor are vastly different from your business plan you may need to find a way to reconcile these differences.
What is the current business position?
It is important to know and understand the current position of the franchise. If the franchise name is considering bankruptcy then you should avoid this franchise. Likewise if they have a negative reputation with either their franchisees or if customers consistently provide negative feedback about the personal training provided by the franchise then it is probably not a good franchise. Customer service and financial security are just two important elements of the business position that you need to know prior to franchising.
What are the major achievements of the franchise?
Achievements of a personal training franchise opportunity are an important component to determining whether or not you should consider aligning yourself with that franchise. If a fitness franchise is listed in Forbes as one of the fastest growing franchises in America then it is probably something worth investing in.
In the same token, looking for achievements is not the only thing that you should look for. If the franchise has had negative achievements then it is something that you need to know. If they were listed in Shape as the worst personal training franchise then you probably won’t want to partner with that franchise.
What is the competition like your area?
If you are considering a boot camp style personal training franchise then it is important to know what the competition is like in your area. If there are only 1 or 2 competitors in your area then it is likely that you will have a good source of revenue. This principle works the opposite way as well. If there is an overabundance of competitors in your area then it may be good to look at another personal training franchise opportunity.
Is there room for growth?
Determining whether or not the personal training franchise opportunity has room for growth is imperative. Being in a position that has a growth cap is not wise. If there is room for expansion and growth then there is the potential to keep a thriving business booming. You do not want a personal training franchise to hinder your ability to grow as a business person and personal trainer.
What is the return on investment?
Any franchise should have an estimated return on investment. The return on investment is how quickly you begin to make money after your initial investment is paid back. Because ROI formulas differ depending on the situation it is wise to investigate how it is calculated. Asking the franchise how they determine the ROI can be a great way to determine if it is a good calculation. If there is no projected return on investment or it is very low this could be an indicator of a shaky business model.
What are the franchise costs?
Determining the franchising fees is important when considering a personal training franchise opportunity. If the franchising fee is high, like 50% of sales then it is a franchise you probably do not want to invest in. Franchising fees that are set up on a fixed rate tend to favor the franchisee rather than the franchisor. Considering a franchise with a fixed rate fee or a low percentage of sales is best. These two types of franchise fees will keep the most amount of your money in your pocket.
How much flexibility do I have?
Asking how much flexibility you are given as a business owner is important in determining whether or not you want to partner with a franchise. The amount of flexibility needed for the arrangement to be good for both parties will depend on your personal preference. If you want some creative control in the processes and training regimen when that is something you should make sure is in the franchising agreement. If you want every step to be handled for you then it is important that you sign with a franchisor that will take care of processes and training curricula for you. The important element here is picking the option that works best for you.