Why Fourth Quarter is a Great Time to Start a Franchise
We're nearing the end of the calendar year, and that means fourth quarter is upon us. The final stretch of the business year, where companies of all industries prep for the last portion of the year. For retail stores, this is likely your bread and butter, while service industries are likely prepping for a slower stretch of income. As a franchise owner, of course you know this all evens out. There are times when you can plan to be busier, and times when you know you're likely to slow down. It's how you plan for these changes in flow that mark your success.
One aspect you might not consider as a new franchisee, however, is starting your business at the end of the year. Opening your doors – for the first time – in November, or even December. For some reason, this is something that seems almost taboo to future franchisees. Opening your new business seems like something that can wait until the new year, sure. But we're here to tell you that the final quarter of 2020 (or any year for that matter) is actually an ideal time to start your franchise location. Here's why:
Service Industries are Generally Slow
As we mentioned above, many service-based businesses will be slower than the rest of the year. This means you can get more work done in plans to open your franchise location. Tasks like construction on your new building, getting a website built, setting up Internet or computer infrastructure, even training for your employees can all be done with little wait.
Yes, starting our franchise in the fourth quarter can actually help you thrive!
Starting late in the year can actually mean less downtime for your franchise business. Get up and running faster, which means you can start drawing an income much quicker too.
When looking to open your franchise business, consider what type of work you will need to get it done, such as remodeling, marketing, and setting up your bank account. While doing this during busy times for business can mean a longer wait, opting for the end of the year can actually lead to more profits byway of less downtime.
More Time as a Franchisee
Depending on your current career, opening your franchise in the fourth quarter can also give you more personal time to work toward the business. It's likely that you have holidays off of work, or vacation time to be used up at the end of the calendar year. While you should certainly take some or much of that time to spend with friends and family (and to just relax), you can also have extra time to work on your new franchise business.
Even spending a few days here and there on your franchise business can leave you ahead. It means days you don't have to take off of your current job later on, it means weekends that don't have to be spent on the future business, and it means progress.
Once again, the faster you can make progress in opening your franchise, the sooner you can get your franchise business up and running. This is especially true for those transitioning out of a "traditional" job and into a franchise ownership career.
There's Less Competition for Your Franchise Business
When starting your business toward the end of the year, you'll have fewer people competing for resources. In general, it's simply not a busy time to open up businesses. This means there will be more real estate locations, more workers looking for jobs (hire on seasonal employees looking for additional work, and perhaps even keep them on the team), and fewer new businesses to draw in customers. By being the only (or one of the only) new kids on the block, you'll draw in more business simply out of curiosity.
Meanwhile, finances can be completed faster, you'll have easier access to your business coach or franchise leadership, and you can book services with ease.
Don't overlook the simple accessibility of starting your franchise business in the fourth quarter of the calendar year. Nor the amount of business you can draw in by opening faster, and with less completion to take from your bottom line.
With smart planning and a dream to own a franchise location, you can be well on your way to business ownership success.
By Bethaney Wallace | Nov 20, 2020 | General Franchise Information