Page 278 - merged.pdf

CHAPTER 9 GROWING YOUR BUSINESS EMPIRE

is why I said in the previous chapters that a business can only
grow if it works without you!

The reason why McDonalds is the most successful franchise
in the world is that anybody can run the same proven business
system and achieve the same results anywhere in the world.
Haven’t you noticed that McDonalds can even be run by
teenagers and the elderly, producing the same quality French
fries at the same level of customer service and efficiency any
place in the world you go to? This is what is known as a
turnkey business. Hand anyone the key to your business system
and it works like clockwork, churning out cash like a perfect
money machine.

In order to get business owners to buy your franchise and
expand your operations, your business needs to meet four
criteria; 1) Have a Unique Competitive Advantage, 2) Be
Profitable, 3) Be Systemized and 4) Easily Learnt.

1) Unique Competitive Advantage
As earlier mentioned, having a unique competitive advantage
is the key to differentiating yourself against competitors and
consistent earnings growth. Your company must have a strong
brand, secret recipe or special way of doing business that
competitors find hard to replicate. That way, potential
franchisees will be enticed to buy and benefit from your unique
system rather than to start their own business.

2) Be Consistently Profitable
You must be able to prove that your business model is
consistently profitable and the degree of profitability should
be predictable. Franchisees will only be interested if your
business is able to generate profit margins that are higher

SECRETS OF BUILDING MULTI-MILLION DOLLAR BUSINESSES 269