Franchise Business Consultant Facts
If you want a quick rundown on franchise consulting, consider these compelling franchise consultant facts.
- Franchise consultants are in business for themselves.
- There is a lot of freedom with franchise consulting. With a consultant role, you decide how much, when, and where they will work.
- The success of a franchise business consultant depends on the effort he or she puts in.
- Franchising is a booming industry. According to the International Franchise Association (IFA), franchising contributed $670 billion of economic output into the U.S. economy in 2020, and represented 3% of the total nominal Gross Domestic Product (GDP).
- By joining IFPG, the leading franchise consultant company, IFPG Franchise Consultants learn from the industry’s most experienced professionals and have access to hundreds of the leading franchise brands.
- The role of a business franchise consultant is pivotal in the success of both the potential franchisee and the franchisor.
- As part of IFPG’s franchise consultant group, a franchise business consultant becomes part of an extended “franchise family.” They work closely with fellow franchise consultant group members to ensure their candidate finds a business that matches their interests, background, budget and desired lifestyle.
- The main priority for IFPG Certified Franchise Consultants is ethical business practices. All IFPG Franchise Consultants follow the IFPG Code of Ethics.
- There are several names for franchise consultants, including franchise referral consultants, franchise brokers and franchise business consultants.
- IFPG Franchise Consultants have been instrumental in the industry’s accelerated growth. The greatest source of franchise leads that become deals are thanks to franchise referral consultants.
Free Franchise Consulting
Working with a certified franchise consultant is a no-brainer for prospective franchisees. Franchise consultants provide consultation services for free. Instead of charging the candidate, they are paid by the franchisor once the candidate decides to move forward and signs a contract (a.k.a franchise agreement). The role of a consultant differs depending on who they’re working with at the time.
Franchise Consultants (also known as Franchise Brokers) are Similar to Real Estate Brokers
The role of a franchise consultant is similar to a buyer’s real estate agent. Just like there are many benefits to using a Realtor, there are also many benefits of a Franchise Broker.
Franchise Consultants act as intermediaries between potential Franchisees and Franchisors. The franchise consultant’s job is to determine his candidate’s ideal business and narrow down opportunities that best match the candidate’s interests, experience, and resources. Just as there are multiple homes on the market to choose from, there are hundreds of opportunities— some of which the candidate may have never considered or heard of. In the end, the franchise consultant's most important job is to help a candidate decide which business is a good fit by explaining the pros and cons of various options.
What is a Franchise Broker?
From a franchisor’s perspective, a franchise broker is someone who identifies a qualified candidate for franchise ownership. Franchise brokers are also referred to as franchise consultants, franchise referral consultants, and franchise business consultants. Although the names are interchangeable, the franchise consultant meaning is the same with all of the terms.
Franchise Broker Description
When you look up the definition of broker, you will find a description of a person who buys and sells goods or assets for others. It’s not the same in the franchise world. Franchise brokers don’t buy or sell goods. They find suitable candidates to help franchisors grow their brands. They wear several hats. When they are wearing their “consultant hat,” they counsel aspiring franchise owners and help them find an ideal franchise. When they put on the “broker hat,” they are introducing franchisors to possible franchisees. With either role, these professionals make a huge difference every day by changing lives through franchise ownership. Whatever you call them, (Franchise consultants or franchise brokers), one thing is clear: they make a difference every day.
Franchise Consultants are Paid Commissions to Sell Franchises
Similar to a real estate agent, a franchise consultant acts as intermediary between his client (potential Franchisee) and the Franchisor. The franchise consultant’s job is to determine what his client’s ideal business is and narrow down opportunities that best match the client’s interests, experience and resources. Just as there are multiple homes on the market to choose from, there are hundreds of opportunities— some of which the client may have never considered or heard of. In the end, The franchise consultant's most important job is to help his client decide which business is a good fit by explaining the pros and cons of various options.