Guerilla Business Tactic | Hijack a Franchise
Last Updated on Friday, 18 December 2009 01:17 Written by Nicholas Dunbar
Don’t buy a business hijack one.
People pay millions for franchises because they are proven money making machines. When you buy a McDonalds you get allot with the package. Marketing, Distribution, Training Manuals, etc. Every part of the business has been refined to work like a precision machine. But what if you don’t have millions of dollars to buy into well established franchises? Create your own right?...
BZZZZZZZZ
Wrong! Well sort of wrong. You do what I call infiltration franchising. Let us take my friend Suzy for example. She is an amazing cake decorator and loves being creative in the kitchen like I’m passionate about interactive design, but she knows nothing about business. She works as a bar tender and would love to be her own boss one day. She longs to do something creative. So Suzy gets a job part time at a very successful bakery and a successful hi-end dessert shop. She spends a year working at this place and works hard to get into management and then begins to get to know all the ways that the business functions. Who supplies them? How much does it cost to run? What is the profit margin of the business? How are employees trained? She learns everything she can and on and on. Every night when she goes home she takes detailed notes about how the business runs, why it works and speculates on how she could take the same concepts and add a touch of her own originality to it that will not dilute the primary reasons the business is successful. After a year and a half she has an idea of how feasible it would be to set up her own version in a location where there would be a demand for such a place. Though she does not get the brand’s reputation with her experience like the purchaser of a McDonald’s, She still has the essence of the business. This knowledge will help her avoid making many mistakes that first time business owners make in that field. She has a dependable reproducible model for making money that can be recreated somewhere else. Next is funding the business. It is important to ask “how small can she start in order to grow into the same successful business like the place she just worked?” If at first you don’t succeed try try again. Well we need to make sure if some mistake happens that Suzy can get up and try again. This is why we want to invest as little as possible, but still allow the business to scale. Suzy starts with an online Designer Cake ordering service and begins to promote her business. As she gains momentum she begins to feel surer about renting a space and hiring more people. She knows what to do next because she remembers how the other business functions.
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