Five Stages of a Business - Get a Head Start with a Franchise System

Posted by Matthew S on Fri, Jul 17, 2015 @ 10:07 AM

smallgrowth

Every business can be identified in the following stages.  Some actually move from one to the next, while others may stay at the same stage during their entire existence.  Businesses in stage one are the most difficult.  During this stage every system, product, etc. needs to be developed from the ground up.  Most don't survive this stage to move on to stage two.  That is one reason that franchising is so attractive to so many.  When one invests in a franchise system, they are getting a business model that already survived stage one and two - and the franchise owner just needs to concentrate on following the system and doing it well! 

Stage 1 - Business Existence: The business starts out with very few systems in place, with the owner usually overseeing all aspects. Primary concerns entail attracting customers and being able to produce and deliver the services/products needed. Other concerns might entail how to encourage growth, and finding enough funds to maintain the needs of the business (repairs, paying staff, creating product, etc.). There's a lot of risk associated with this stage, as the demands on time and energy may cause the owner to sell-out and pursue a different path. The business may also prove to not be able to attract customers, or sustain the financial requirements the business needs to continue.

Stage 2 - Business Survival: The business not only has attracted enough customers to be profitable, but also has the products and services in place to encourage the customers to return. However, owner concerns during this stage might pertain to the ability to sustain profitability and encourage growth, all while maintaining repairs and delivering enough services to engage customers. Sometimes, a business may stay in the "business survival" stage for a while, and go out of business when the owner retires, or decides to do something else.

Stage 3 - Business Success: With the business being successful, the owner will have the option of continuing to build on success, or keep the business stable and financially profitable. Some owners may want to use the business as a means of support while they pursue other activities, which means either a partial or full disengagement from the business. However, it should also be noted that during this stage of the business, more employees and management are usually brought on board to assist with the operation of the company.

Stage 4: Business Take-off: During this phase, the business is trying to figure out how to grow rapidly while finding ways to finance the desired growth. Business Owners will also look at delegating tasks in order to help manage the growth and complexities of the expanding business. Sometimes, a business during this step may grow too quickly and run out of money, or the owner fails to distribute responsibilities to others - which may contribute to owner burnout.

Stage 5: Maturing of Business Resources: The business has grown to the point of being adequately staffed with experienced employees and management, and should have systems in place that have been refined and are efficient. In this stage, the business also should have financial resources and experienced management ready to help continue the growth of the business. However, it's important for the business to try and maintain its entrepreneurial spirit, and continue with that same ability they had when smaller in meeting the needs of their customers. If the business opts to avoid risks and innovation, and becomes so big that customer service and internal culture dramatically changes, it may allow a competitor to gain a foothold.

Franchise opportunities are in an abundance.  Smarter business owners do careful due diligence when evaluating them.  We have written several other blogs on these topics: What to look for, what are the advantages of a franchise and so many more.  If you are looking for faster business growth in your future business plan, it might pay well to check out franchise opportunities.

For further reading, check out our other resources on Franchise Success!

Are you interested in learning more about one of the best kids salon franchise systems out there? As one of the fastest growing kids hair salons in the industry today, we're working hard to share our many great resources for small businesses and business tips so that our franchisees will have the tools to succeed! If you're interested in learning how to franchise, develop a small business plan, or become a successful owner of your own childrens salon franchise business, please click below or call 1-888-98 GONE MAD!

The Top 4 Considerations

Topics: franchise opportunity, the salon business, Small Business Franchise Information, reinvent your career, Business Tips, growing a small business, business growth

10 Reasons to Invest in a Hair Salon Franchise

Posted by Matthew S on Fri, Jan 16, 2015 @ 12:01 PM

Shear Madness Haircuts for Kids,Kids in a Kids Salon,Kids Boutique

Many people who are interested in opening their own business and becoming their own boss often wonder what the advantages might be of investing in a franchise opportunity. Following are ten reasons why buying a franchise may translate into the long-term success of your investment.

Robust Industry: Many franchise systems offer services that are in high demand. The children’s segment of the recession resistant Hair Salon Industry is one such example, It's currently worth around $19 billion. To date, there are around 45 million kids in the Shear Madness age group – and this is expected to grow by about 7 million by the year 2020! 

Marketing Support: Ask anyone who runs a business, and they’ll tell you that marketing not only takes a lot of time – but can cost a lot of money too. However, an effective marketing plan is critical in letting the community know about what your business does, where it’s located, and so much more. For example, Shear Madness Haircuts for Kids understands this, and offers great resources and strategies to help businesses attract new customers.  

A Record of Success: Franchisors will have a proven record of success. Through years of experience marketing to their customers, they usually understand what works - and what doesn't. Through becoming a franchisee, you automatically gain this valuable business advantage.

The Brand: A franchise brand is a powerful tool. As an example, the Shear Madness Brand is one that is instantly recognizable as being fun. Those who own a franchise with Shear Madness are automatically connected to the tens of thousands of parents and children who love who we are and what we do. This translates into many repeat customers who share with friends and family about their great Shear Madness experience! 

Buying Power:  Franchisors usually have experience in knowing what products sell well and what don’t. Additionally, they have the knowledge on how to negotiate for the best prices on everything needed for the successful operation of the business. Many times the sheer number of franchise locations allows the franchise to negotiate for better pricing.

Store Location: Where to locate is an important question any business owner should consider. Franchisors help study your community in order to help you find the best possible location for success.  They know the numbers and other criteria that allow for the possibility of a successful franchised business.

Networking: Franchising can be a little like a group of trusted friends, and should be a great environment of sharing and building each other up. Franchise owners who work with other franchisees and communicate what works and what doesn’t will have a competitive advantage over those who don’t! 

Training Support: Great franchise systems have worked hard to develop many training resources to help you achieve success. For example, with Shear Madness Haircuts for Kids, we provide our franchisees with in-store training with stylists, and encourage opportunities to network with other franchise owners. Because of this, you’ll have access to a wealth of business knowledge at your fingertips.

Building your Store: One of the benefits in buying a franchise is the franchisor's expertise  in designing the layout of a prospective business, working with the right contractors, and knowing how much furniture and equipment will be needed. Again, this helps a business owner save time, money, and keeps the headaches to a minimum! 

Minimizing Risk: Ultimately, as a potential owner of a franchise, the success of your store will be up to you. But through being a part of a franchise system like Shear Madness Haircuts for Kids, the risk of starting a new business is significantly reduced. Sure, there will still be challenges that come your way, but as a franchisee, you’ll have greater confidence and know-how in how to succeed. 

When an individual buys into a franchising opportunity with Shear Madness Haircuts for Kids, they won’t be going at it alone. Our team excels at being a partner who wants our franchise owners to succeed! Learn more tips on how to achieve success from our team of business experts by downloading our free resource below.

Exploring a Children's Salon Franchise 

Topics: franchise, kids salon franchise, salon franchise, franchise buyers, buying a franchise, franchise opportunity, Shear Madness Haircuts for kids, what is a franchise, how to buy into a franchise, Small Business Franchise Information, reinvent your career, Business Tips, successful franchisees, marketing strategies, franchise definition

Career Change Advice: Buy a Business or Franchise?

Posted by Matthew S on Tue, Jan 13, 2015 @ 13:01 PM

careerchangeBuying any business or franchise can be an exciting and rewarding adventure, but success won’t come overnight! You’ll likely spend a great deal of time, energy and financial resources in order to help ensure the success of your business. And in a way, because you’re making such an important investment, you’ll find yourself putting a little bit of “you” into your business too. Therefore, it’s good to take a step back before starting the whole process and ask yourself the following: Does the franchise you are considering really fit with who you are as a person?

Following are several tips to keep in mind when investigating a franchise.

Personality – Does the franchise you are considering fit with your personality? Do you consider yourself an introvert or an extrovert? Do you enjoy leading, or would you rather be behind the scenes? Are you outgoing, funny, regimented, or reserved? Because there are so many different kinds of franchises that provide a large variety of services, you’ll want to look at areas that suit your personality.  For example, many people who choose Shear Madness Haircuts for Kids are generally a more outgoing personality type who enjoys the fun atmosphere our stores have. They also enjoy working with kids, and like the thought of being able to provide a service that seeks to bring a little more happiness into the world!

Lifestyle – Many people consider investing into a franchise system because of the unique challenges and opportunities that running your own business represents. But it’s important to remember that the kind of lifestyle you have (or appreciate) is an important factor in considering a franchise opportunity. Forcing yourself into a system that isn’t really “you”, can quickly lead to feeling burned out and unhappy.  For example, if you enjoy getting up early and going to bed early, certain types of franchise systems that are open late hours (or 24 hours) may not be ideal for you. Or maybe you don’t really like the thought of having to wear a suit everyday, or prefer more low-key environments over fast-paced high energy work spaces. All of these are important lifestyle preferences to take into consideration.

Skills – Think of looking for the right franchise as looking for the right job. If you have 10 years of experience working as a chef, it probably wouldn’t be a good idea to look for a job as an architect. You simply wouldn’t have the right skills to effectively do the job. Or, if you’re someone who really doesn’t have a lot of experience in managing people, a job that requires management of entry-level staff may not be a good fit. Similarly, when making a decision on a franchise, don’t be afraid to perform an honest look at what your skills are. You can do this through looking at your resume and seeing what you’ve demonstrated an excellence for over the course of your work history. Or you may additionally want to consider what you may enjoy doing in your free time as well. Either way, in order to help ensure success as a future franchise owner, be sure to focus on what your talents and abilities are!

Tools for Assessment - If you would like a little help in figuring out who you are and what really motivates you to get through each day, you might want to the following online resources. The Keirsey Personality Sorter is an online personality assessment that can be done for free at http://www.keirsey.com/ (more detailed reports are available for a fee). iPersonic Career Test also has an online personality test available at http://www.ipersonic.com/career/ that may help you more clearly define your work values.

Exploring a Children's Salon Franchise

Topics: franchise, kids salon franchise, franchise buyers, buying a franchise, franchise opportunity, career change, how to begin a business, how to franchise, reinvent your career, Business Tips, Free Resources for Businesses, successful franchisees

Reinvented: The Modern Career Shifter!

Posted by Matthew S on Fri, Nov 21, 2014 @ 10:11 AM

careershifter

The global recession that took place in 2008 caused many Americans to lose their jobs. Many people lost their homes, their careers, and their sense of security. "We were starting over in a competitive job market with people half our age and experience we didn't have," says a couple who lost the majority of their income in the construction business when the economy tilted on its side three years ago. Many small businesses folded under the same financial hardships, their owners returning to school or another fallback career. Many of these individuals took a long look at their situations and concluded they must RE-INVENT themselves.

Career Shifters: Whether or not you are an entrepreneur, when it comes to diversifying your income or perhaps shifting careers, there are some important decisions to make. What are my likes and dislikes? What are my strengths and my weaknesses? It can be very helpful to take a career/personality assesment test in these early stages to help determine what you might do best and best match your lifestyle goals with your career. We recommend the PRO-D from TAI, Inc. assesment test. This test will connect your motivations, talents, AND your personality with your best career matches. Many career shifters are looking for a lifestyle change as well. The ability to set your own hours and do something you love is actually what attracts many of these shifters into the world of franchising.

We find it interesting that studies show women make up the largest percentage of career shifters in the last four years (over 70%). Many women are starting up businesses or buying existing businesses and running them successfully in a fine balance with their own family and personal lives. It is suspected their social flexibility (often gained as mothers and as wives) allows them to reinvent themselves more readily in the professional arena.

Freedom to Choose: MOST mid-life career changers will choose entreprenuership or small business ownership to ensure financial freedom and a successful future for themselves and their families. It's a point when all acquired knowledge and professional skills come together in an orchestra of Passion, Performance, and Hard Work. The owner and founder of Shear Madness Haircuts for Kids, Paula Thurman was a fiery entreprenuer back in 1997 when she opened her first kid's salon. Her fantastic concepts and relentless work ethic is now reaping the benefits as Shear Madness grows rapidly across the United States. Paula says her only key to success has been “totally believing in the concept and never giving up.” But it doesn’t hurt that she passionately pursues new, innovative ways to bring clients in and help Shear Madness™ grow.

Career Shifters are Franchising

If considering a new career, buying an existing business, starting your own business, or buying a franchise, career shifters can expect a significant impact on their lifestyle and finances for the first year (at least!) Hopefully, initial investment does not outweigh the long term benefits of making the career change. Many career shifters are opting for Franchise Ownership because the professional groundwork has already been laid and a successful business model has emerged. When buying a franchise or mutiple franchises, shifters can choose exactly what type of business they wish to own and what their income will be. Some of the most popular franchise options (especially for women over 40) today include:


8 Suggestions for Career Shifters

1. Self Assessment - Conduct a thorough self anaylysis of strengths, desires, abilities and goals. There are lots of career assesment tools readily available online for a small fee, sometimes for FREE!

2. Research - Talk to others, read articles (like this one) and process the information with family and friends - research has proven itself most helpful for successful shifters in deciding the best career path for themselves.

3. Take Inventory of your Transferrable Skills

4. Get Training and/or Education - many career shifters begin by returning to school.

5. NETWORK

6. Gain Experience

7. Find a Career Mentor

8. BE FLEXIBLE

For more information on Shear Madness Franchising opportunities please contact Jim Otto [email protected] or download this excellent FREE resource on the Advantages and Disadvantages of Franchising and begin researching (possibly) your new career! To Download the Whitepaper CLICK Here!

We're having a great day at Shear Madness, we hope you have one too!

The Franchise Buyer's Toolkit

Topics: franchise, kids salon franchise, salon franchise, kids salons, franchise buyers, buying a franchise, franchise opportunity, Shear Madness Haircuts for kids, career change, how to begin a business, reinvent your career

Is a Salon Franchise for you? Six important questions to consider

Posted by Janon Otto on Mon, Nov 3, 2014 @ 12:11 PM

describe the imageOh - thinking of starting your own salon business?

You might want to think again before starting!  If you interview successful business owners you will find that owning your own business sometimes is NOT what it's cracked up to be!  It can be hard work!!!  Following are 6 traits that every business owner must have, or chances are he or she won’t have what it takes to stay until the paycheck finally comes in!

Personality type – Are you a competitor?  Most of us think we are, but are you?  When you ran races in grade school, what were you thinking as that other kids caught up to you?  That will tell you a lot about your competitive spirit.  Do you always believe that you have what it takes to win, no matter what?  Do you doubt yourself and your abilities?  In business you MUST believe. You cannot doubt your abilities.  You can second think and learn from mistakes, but that is wisdom and OK - it is not doubting your abilities.  No business owner does everything right the first time around!  And that is NO business owner!  There is always going to be a learning curve, and the learning will never stop.  There are many salons out there so competition is a given - can you take it? At Shear Madness Franchising we give you marketing tools to compete as well as a concept that is the BEST!

Numbers acumen – Can you evaluate numbers?  You may have an incredible business idea, but you may not open it in a place where it has the chance to succeed.  You must do the numbers – you need to evaluate all this BEFORE starting.  If you have already started and aren’t doing what you expected, it may be that your location or marketing are preventing your success.  Sit back and do the numbers.  How many customers does it take to make the income you need?  How many potential customers are in your market?  Are there competitors who will get some of those customers?  How many of the potential customers will actually do business with you?  How far will they drive, etc, etc.  Much of success or failure is all in the numbers!  If you aren’t good with these, find someone who is and ask yourself every question you can and try to estimate on the LOW side before you start.  A salon franchise system can help you with this!

Are you an Idea person or a Follower and implementer of others’ great ideas?  This is an important question to ask yourself.  You can be a great business owner with either trait, but the business you choose will change based on the trait that you have.  If you are an idea person – then owning your own business and starting it from scratch could allow your imagination to flourish!  If you are a great implementer of others’ ideas then you may be a perfect candidate for investing into a franchise system.  In a franchise system you can be the best implementer and most successful by doing well in an already proven successful system.  If you have great ideas, you could improve on an existing system as well.

Instruction Taker or Rebel?  This goes along with the question just asked.  However, it is a very important question to ask yourself.  Do you look at others’ ideas and think that you could do it better?  Or do you appreciate the wisdom of those who have been there before you and know it is best to do it their way?  Rebels are innovators and are great candidates for starting businesses from scratch.  Instruction takers make incredible franchise business owners. We love great ideas, but within the context of what we are already doing at Shear Madness - it's an opportunity for following a system with room for fantastic ideas!

Immune to discouragement – This is a biggy – if you are easily discouraged you will NOT succeed as any business owner.  Yes, there are times when it is wise to throw in the towel.  But there will be many more times that the going is just tough, and you'll need to stay the course with the knowledge that you will get through it and be successful!  If you are married, you MUST have the support of your spouse and family – sometimes they are the best cheerleaders and can help you through those tough times, because even those who are mostly immune to discouragement can have their down moments. 

Support System – This one is not necessarily a trait, but it is something that every business owner needs.  Encouragement, and surrounding yourself around those who are positive about your business is a must.  A franchise system can provide that "cheering" that you may need to get you over those bumps in your business.  Knowing what to expect on a monthly basis and how others' are doing can provide a basis to evaluate your own performance.

A salon franchise may or may not be for you.  But, to help you get more information we have put together a toolkit that can help you on your exploration journey.  Get it sent to your email here:

Exploring a Children's Salon Franchise

Topics: salon franchise, franchise buyers, buying a franchise, franchise opportunity, how to buy into a franchise, Small Business Franchise Information, how to begin a business, reinvent your career, Business Tips

RE-INVENTED : Career Shifters Part 3

Posted by Emily Drake on Mon, Oct 1, 2012 @ 11:10 AM

Attention Entreprenuers : Reinventing your Career is Easier than you Think

Buying an existing business such as a franchise, is one of the smartest choices today's entrepreneurs can make. Let's face it, MOST new start up businesses FAIL within the first year. Why is this? Let's be brief:

1.  If you ask most successful entreprenuers the most difficult part of getting their business up and running is implementing the systems. With a franchised business all the systems are already in place for you to follow.

2.  Inadequate Knowledge and Experience - There is no substitute for knowledge through experience. Usually when entreprenuers start a business they can expect years worth of struggle to aquire the learning curve necessary for success. Buying an existing business that has already safely overcome that learning curve can eliminate a LOT of trial and error that buries most entreprenuers within their first six months.

4.  Poor Money Management - If this needs further explanation then you are not prepared for entreprenuership.

5.  Spreading yourself too thin - Running any business is difficult. The first tendancy for most new business owners is to save money by doing everything themselves. Your mantra should be Do what you do best and outsource the rest!

Buying an Existing Business such as a Franchise

 
Investing in a franchise system can be a great opportunity for entreprenuers. And NO, it doesn't mean you need to go spend a million dollars to open a McDonalds!

In the franchise world there are many options. Choosing among all the categories alone is a challenge! However, one category that many times is worth evaluating is the children's hair salon business! Why? Well, every kid needs a haircut now and then! Most sectors of the salon industry are flooded with competition, but not the children's salon industry! - AND it does not appear that the internet is going to be able to replace haircuts anytime soon!

If you would like to receive a FREE whitepaper designed to help when evaluating ANY franchise click HERE!

The Top 4 Considerations

Visit our NEW store coming to The Village at Stone Oak in San Antonio, TX this MONTH!

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Buy a Franchise

We're having a great day at Shear Madness, we hope you have one too!

Topics: franchise buyers, buying a franchise, career change, reinvent your career

RE-INVENTED : Career Shifters Part 2

Posted by Emily Drake on Thu, Aug 30, 2012 @ 13:08 PM

Career Change Advice

A couple of years ago I attended a seminar at Johnson County Community College in Overland Park, Kansas. The students had the privilege of meeting Dr. Pankaj Ghemawat , a Harvard professor of over 30 years. Dr. Ghemawat received his Bachelor’s degree in Applied Mathematics and his Ph.D. in Business Economics from Harvard University from which he entered at the age of 16, was accepted to the Harvard Business Ph.D. program at age 19, and graduated three years later. Ghemawat has also been the Anselmo Rubiralta Professor of Global Strategy at IESE Business School in Barcelona since 2006. This particular evening however, he talked about globalization & the growing need for higher education. He explained how different cultures are experiencing economical shifts and how globalization is playing such a key role in our futures as countries, businesses, families, & individuals. This word globalization was new to me. Globalization can be described as ‘…a widening, deepening, and speeding up of worldwide interconnectedness in all aspects of contemporary social life, from the cultural to the criminal, the financial to the spiritual’ (Held and McGrew 1999: 2) Gone almost are the days when people had a specific set of skills their job required and they performed them with little variation over a long period of time. Today's technology, global commerce, and increasing energy demands have pushed individuals to possess more skills, be more flexible, and somehow manuever a smaller carbon footprint all simultaneously. These shifts can seem overwhelming and exhausting, especially to a student who may or may not know what color shirt they have on, much less what their career path is. So what advice is there for people starting a new career or RE-Inventing one they thought they had?

Career Change Advice

After global economic crisis many people expected to bounce back - against competition, consumption, and change. How though? What does one do when RE-INVENTING a career or life for that matter, after the game is well underway? It's recommended you start by taking a thorough inventory of your professional skills & accomplishments. By making a list of ALL the things you are great at and why you have an essential tool for success. If there are skills you wish to have, write those down too!

The truth is there is no secret formula to inventing your ideal career match. Lifestyle, financial needs, and personal tastes change over time. Assessing where you are presently is crucial when shifting careers!  After taking your personal inventory begin assessing your personal needs. What are your business goals? What are your financial requirements? What kind of work schedule will fit for you and your family? I found a very helpful career assessment resource available from K-State University here!

ReInvented 2

Don't Box Yourself In

Depending on your position and experience, talking to a career counselor may be very helpful when shifting. The goal of career counseling is to help individuals identify multiple career areas which reflect the person's values, interests, and ambitions.

Interesting Fact: Nearly half the careers that will exist in the year 2025 don't exist today. To prepare for the unknown is a process. It requires learning about yourself, what you are most passionate about and how that fits into the world we live in. This will likely change over time. And that big word globalization... is key in product and services exchange now and in the future. This is the "widening, deepening, and speeding up of worldwide interconnectedness.." Get inspired. Think Big.

Projected: The Top Careers of the Future

Digital Identity Planners
Global System Architects

Digital Archaeologists

Online Community Organizers

Terabyters and Wiki-Writers
Bio-Botic Physicians

Brain Signal Decoders

Environmental Health Nurses

Green Careers Coach

Chief Experience Officers

Talent Aggregators

Global Sourcing Managers

& Kids Hair Salon Owners!!!

The Top 4 Considerations

We're having a great day at Shear Madness, We hope you have one too!

Topics: franchise buyers, career change, reinvent your career