Franchising Vs. Corporate Life

One of the reasons why franchising can be such a great vehicle for corporate professionals is that the dynamics found in a franchise can be very similar to those found in a corporate environment.

When working in a corporate environment, you will be used to having certain resources available to you, such as established IT systems, professionally designed marketing collateral (like websites and sales brochures), support with hiring employees and much more. In fact, you probably rarely think twice about having these available to you as they are so common.

However, when you decide to start a business none of those resources are available. You must either create them yourself, or pay someone to supply them for you, both of which costs time and money.

One of the reasons why franchising can be such a great vehicle for corporate professionals is that the dynamics found in a franchise can be very similar to those found in a corporate environment. 

This is one of the biggest shocks to reality that many new business owners face and one of the primary causes for business failure. An eye-watering amount of business owners simply run out of money before they have had the chance to figure this stuff out and put the necessary systems into place.

With a franchise, all that changes. As part of your franchise system, you will have access to certain resources including websites, IT systems, marketing assets and much more. It can feel very familiar to working for a corporate employer but with one key difference; you are the captain of your own ship. Franchise ownership truly brings to life the saying of working for yourself, but not by yourself.

Similarities between franchising and corporate employment

Similarities between franchising and corporate employment

Some of the key similarities between corporate employment and franchise ownership include:

Established Systems

In a corporate environment you are working to established processes and proven management systems. As an employee, you are essentially operating within the system and bringing those processes to life. Typically, the better you can do this, the further you will progress in your career.

The ability to operate within tried and tested systems and follow proven processes is the essence of successful franchise ownership. In franchising, the better you can follow the tried and tested systems that the franchisor has created, the better your results will be. It really is that formulaic. As an experienced professional, this will be one of your greatest assets, yet you might not even be aware of it.

In franchising, the better you can follow the tried and tested systems that the franchisor has created, the better your results will be. It really is that formulaic. As an experienced professional, this will be one of your greatest assets, yet you might not even be aware of it.

Many people are often surprised to hear that the worse types of franchise owners are in fact those that are highly entrepreneurial. This is because entrepreneurs often come in and try to change what has already proven to work. A true entrepreneur would feel like a caged lion in a franchise and would be out before they have really begun.

In contrast to this, the best and most successful type of franchise owners often come from a background where they are used to following systems and procedures. Our years of experience of helping professionals’ transition from corporate life into franchise ownership has reinforced this several times over, with many of the professionals that we have introduced going on to become outstanding franchisees and building remarkable businesses for themselves in a record amount of time. 

Specialist Resources

As within corporate employers, franchisors often provide specialist support resources that allow you to run your business efficiently and effectively. Such resources include custom IT systems, monitoring and reporting systems for effective tracking and performance improvement, specialised in-house expertise and more.

When transitioning from a corporate employee to independent business owner it often comes as a shock; you are responsible for everything and head cook/chief bottle washer really is an understatement. 

It can be common to overlook how important these resources are and the time-consuming nature that those activities can be, particularly if you have spent your life working in a corporate role. When transitioning from a corporate employee to independent business owner it often comes as a shock; you are responsible for everything and head cook/chief bottle washer really is an understatement. However, the transition into running a franchised business is usually less harsh and often has many similarities to corporate life.

Ongoing support

In a corporate environment it is common to have the support of peers, colleagues, mentors, and the leadership team. While everyone may not be a corporate ally, you will still have the ongoing support from key people and stakeholders. 

The one difference you may find pleasantly surprising is the lack of politics – franchising is a win-win model that is designed to make everyone your ally, and you theirs.

The same level of support is found in franchising, with a variety of people supporting and actively encouraging your success. The one difference you may find pleasantly surprising is the lack of politics – franchising is a win-win model that is designed to make everyone your ally, and you there’s.

A Proven Model to Implement

Like having established systems, in a franchise you have a proven route to market and a tested brand proposition that is attractive enough to find and retain customers. Rather than trying to figure out what to do, you spend all your time and energy on doing what is proven to work, thus attaining immediate results.

Annual Conferences and Regional Meetings

Annual conferences and regional meetings are usually key events on the corporate calendar, with activities such as Sales Kick-Off drawing employees from multiple regions into one place.

Similar conferences and meetings occur within franchise networks and are often big events that attract specialist guest speakers and award ceremonies. These events are great at facilitating relationships with fellow franchisees, for learning the latest development and improvements within the franchise, while helping to keep you focused and driving forward progress.

Differences between franchising and corporate employment

Differences between franchising and corporate employment

Despite the similarities between franchising and corporate life, there are also fundamental differences. Some of those differences include:

Increased Autonomy

No longer are you slave to your calendar or the agendas of others. As a franchisee you have significant control over how you spend your time and where you choose to spend it. This often comes as a refreshing and positive step forward for many professionals who have grown tired of the corporate roller coaster. However, too much freedom and can be a bad thing; if you are not disciplined in how you manage your time, you will find your time escaping.

Reduced Corporate Politics

Another major benefit of becoming a franchisee is simply the lack of corporate politics. While there will always be some level of politics happening in every business, franchising is based on a win-win-win model – you, the franchisor and the customers all win. This results in a significant reduction of corporate politics.

While there will always be some level of politics happening in every business, franchising is based on a win-win-win model – you, the franchisor and the customers all wins. This results in a significant reduction of corporate politics.

While you may always have to manage up and down, you will find that this will be a walk in a park compared to some of the corporate environments that you have worked in.

Greater Financial Incentives

One of the major benefits of business ownership is its ability to increase income and create wealth. This is largely due to leveraging systems and processes to become a business owner, rather than someone who works for a business. 

Reduced Financial Certainty

The other side of the coin to greater financial incentives is reduced financial certainty. Many of you will have spent a lifetime with a guaranteed pay check at the end of the month that allowed you to pay your mortgage, support your family and cover other personal expenses. You may also be used to lucrative benefits such as paid holiday, pension contributions, bonuses, healthcare and more.

The other side of the coin to greater financial incentives is reduced financial certainty. Many of you will have spent a lifetime with a guaranteed pay check at the end of the month that allowed you to pay your mortgage, support your family and cover other personal expenses.

As a business owner, the certainty behind these perks are reduced, at least in the early years. As you become more established you will find these perks returning and, in many cases, exceeding what you previously had in a corporate environment, but until then you will have a period of reduced financial certainty.

This period is significantly reduced when starting a franchised business compared to an independent business because with a franchise you are getting a proven business model to operate – allowing you to shortcut the start-up phase and go straight to success.

Fresh Challenges

One of the major differences that I consistently hear from corporate professionals when they move into franchising is simply the abundance of fresh, new challenges. Many have grown tired of the lack of challenge that has been presented to them over the prior years, or the unrealistic expectations that are put upon them by their employer. 

One of the major differences that I consistently hear from corporate professionals when they move into franchising is simply the abundance of fresh, new challenges.

They now find themselves in a position where they can utilize the skills and experience that they have built over the course of their career and direct that to their own, chosen challenges, allowing them to achieve success on their own terms. It is very exciting!

Greater Contact with End Customers

Many corporate professionals lost touch with the end customers many years ago and have thoroughly enjoyed reconnecting with the end customer, listening to their needs and delivering an excellent product and/or service.

Greater Control Over the Direction of the Business

A large majority of the corporate executives that we have worked with have expressed a great deal of surprise and disappointment to find that the higher they climbed the corporate ladder, the less control they had over the direction of the business.

As a franchisee you have total control of the direction of your business, within the bounds of the franchise agreement and can develop the business as you see fit, in the way that you think is best.

Many have described themselves as order takers with very little influence on the overall direction of the business. As a franchisee you have total control of the direction of your business, within the bounds of the franchise agreement and can develop the business as you see fit, in the way that you think is best.

Increased Ability to Control Your Own Destiny

Last but certainly not least is the increased ability to take off and control your destiny. One of the major appeals to business ownership is your ability to choose your direction and to decide what you’re going to do with your life and how you are going to contribute to the lives of those you love and the world as a whole.

Franchising empowers you to design your lifestyle in a way that allows you to schedule your priorities first and let the less important things take a back seat in life, as they so rightly should. This is in stark contrast to the corporate lifestyle, where you can be a slave to the corporate calendar. 

What differences between franchising and corporate employment do you find most exciting?

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