Vange, Cher and Sixty Percent discussed on Up Or Out with Connie
Net worth it? You'd be amazed how many don't. They have negative net worth, and then you wanna look in, see, are they able to make money if they weren't selling franchises? Now, if they have enough equity in the company money in the company and they're not making money without selling furniture. That's okay because they know enough to have enough capital that they're going to be in business for the long run or if they're them negative net worth, and they can't make money selling franchise. That's a major red flack now, that's doesn't mean the system can't be successful, but you've gotta really about you way the people that you're going into business with. And you really think they have the accurate and they have the ability to really run a system and there's a huge change. Once you go from small mid-size right where you now need people that their job is franchised supported me. So I says, right, yeah, and it's painful because if they're not making money. Or the dependent on sales to hire those people to to get to that next point. So typically speaking, if you're in assistant with over a hundred franchises that they passed that pain point. So size, does matter in terms of security of safety of your of your investment. That doesn't mean that they're great franchise ORs. Don't. You know the statistics of attendance is much more important than the statistic of sides, right? If they're if they're smaller at different kind of person, generally would buy them. They're perhaps more entrepreneurial. They have more input in the system than that true business people is is probably what you're looking at. We have looked at it. Vange is after girl scouts. We were looking at UPS. We had all the information several conversations. He's the one that reviewed all of the financials and then we decide we get, but. Bringing up very points. What else do you think from area? I'm going to buy a franchise perspective. Why should I be looking out for the sides? I hear you have the. The national is a very good indicator also the size, but it always depends on people within your organization service speak to create that engagement when you're small owner bag. You know, it really depends on that team from a ham, not as big a franchise or in terms of my size who. And so I guess my question, No. What else would you look at as a watch out respective? So I would wanna look for consistency. I would wanna look at the locations and see to the locations. Look alike are the real brand standards and you know, I have a question and it's kind of a trick question pass the franchisor which is, you know, I know you have all these rules, how much flexibility do you have? And if the franchisor says, you know what? We're pretty flexible. You know, we, you know, we're not that rigid. We don't inspect. You run run because you're building a brand brand is about consistency. How can you build a brand if everybody is different thing? Yeah, yeah. Now, it's one thing and I always encourage this with a franchise, or if somebody comes to you in an idea. You wanna listen and it's okay to have a few brands prototype idea, but that's done with the blessing of the brand it's being measured. So what I would encourage people to do is go visit some locations and look for consistency, and you obviously wanna talk to get validation who people were franchisees. And when you talk to them, ask them these questions, you know your, does the franchise or you know, listen to you. You know what, if you want to do things differently, and that's the interesting one is some I will do whatever we want. Yeah, that's a, that's a bad sign. There are franchise tools out there. There's a company called franchise business review, and then there are couple others out there that are Fram survey and etc. And these are good tools to look at to see what the franchise system is saying in its entirety. If the franchisor will share with you though those results, but nothing is better than talking to the franchisees that are there. And then the last thing I would say is you have to build a budget. And a franchise or is going to give you. There's a thing called an item nineteen, which is a financial disclosure if they don't have one, because some people will say based on our attorneys advise were not providing any data here. About sixty percent do if they don't provide any data, I can assure you their system isn't making a lot of money. Okay. Let me let me jump into a couple of questions before we run out of time here. I mean, this is a critical information, especially for entre preneurs. People just just coming out are coming out of corporate in deciding, hey, I want to start a business, but for you as an individual, have a couple of questions. So wanna finish finish the sentence. I am a leader. I care. Well. Okay. Would you got. It's a, you know the carrying about, you know your team or who you're working with is absolutely critical building at engagement of Cher right on. So my favorite success quote is.