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Franchisee Selection

Jim’s Group is a highly selective system, and a key requirement of Franchisors is that they choose only people they are convinced will succeed. Prospective Franchisees are assessed for communication skills, business skills and ethics – especially with regard to customer service. Two competent Franchisees take each prospect out on the road and give an independent report on their suitability. No Franchisee should be signed unless both of them agree. Experience shows that Franchisors who select carefully have better businesses and faster growth than those who are less rigorous.

A Franchise is a business and needs to be sold, so a background in sales can be helpful. However, this is a very low key kind of selling. Our emphasis is on giving Franchisees information, encouraging them to talk to other Franchisees and to the opposition, to make the very best decision in their own interests. We take disclosure so seriously that Jim’s has always given prospects a list of current Franchisees in their area, long before it was required by the Franchising Code. Prospects must be given a clear idea not only of the advantages of the system but the requirements. For example, they must be aware that we have very strict requirements with regard to customer service. Curiously enough, we find this ‘selling by not selling’ to be highly effective in recruiting quality Franchisees, who like the idea of belonging to a rigorous system with high standards. In no sense and at no time should a Franchisor engage in a ‘hard sell’

The easiest way to close a sale is to invite the prospect to attend the next generic Franchisee training session, which is a three-day general business course. This is normally at no cost and with no obligation. However, the course is so impressive that most attendees will normally sign within a few weeks.

 

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