It takes a quite a few steps to start a home health care business or other franchise, so you want to be sure you are heading down the right path from the beginning. One of the first tests you will face is choosing the industry where you want to invest.
There are a few schools of thought on selecting the right industry for your franchise investment, and there is not one right or wrong answer. Some franchises look specifically for new owners who have experience in the field while others look more pointedly for those that have business acumen but not necessarily industry experience.
Keep reading for help determining whether you should look at your own industry experience or make the leap to a completely new industry for your franchise investment.
There are a few reasons that you might want to consider buying a franchise in an industry where you have experience.
Why You Should Choose an Industry You Know
You’re Familiar with the Market
One of the most important aspects of launching a new franchise location is marketing. In senior home care, for instance, a background in healthcare can be a benefit. The benefit comes from not only a knowledge base in healthcare but also many seniors find comfort in the fact that someone with healthcare experience is the owner of the agency they choose.
You may also have contacts and existing relationships with. Whether you choose a brand that is already nationally recognized or one that is just getting its start in franchising, you need to be able to attract new customers in your market. With experience in the industry, you will already know who top prospects are and probably have a good idea as to how to target them.
You Can Hit the Ground Running
If you have experience in your franchise industry, you will be better able to hit the ground running with your new franchise location. Your market knowledge combined with operational experience may mean that you can ramp things up a bit faster than someone without experience.
Of course, a good franchise training program should be something you investigate as you are taking steps to start a home healthcare business or any other franchise business, and that can take the place of direct experience (or augment it) in many cases.
Why You Shouldn’t Choose a Franchise in an Industry You're Familiar With
If you are considering buying a franchise in an industry where you do not have experience, don’t fret. There are certainly reasons that you may want to avoid becoming a franchise owner in an industry where you have worked before.
Franchise Ownership Means Following Rules
People invest in franchise systems because they are proven to work, but the only way they work is when all owners follow the guidelines and processes put in place by the franchisor. If you choose a franchise in an industry you know, there is a chance that you will have a more difficult time following the rules in favor of your ideas. On the other hand, when you have no prior experience in the industry, it will be easier to defer to the expertise of your franchisor.
Experience Does Not Outweigh Bad Instincts
In most cases, a franchisor wants to find owners who have experience in business, in management, and in making good choices. Having experience in an industry does not automatically qualify you for franchise ownership in that same industry. It is much more important for potential franchise owners to have good instincts, stellar critical thinking skills, and the drive to succeed as a business owner.
Some people choose to invest in a franchise because they love the industry where they work and know that they can thrive, but many more franchise owners start with little to no background in their chosen industry find huge amounts of success as owners. If you are interested in taking steps to start a home health care business but you don’t have any experience in the field, do not get discouraged. Your passion and drive are much more important to your ultimate success in any field.