Franchise ownership comes with a nearly zero fail rate. If you believe this statement, you may be in trouble of failure as a franchise owner. Let’s take a step back. The statistics lean toward this myth of franchise with a success rate of between 80 and 90% (albeit, not a well-founded statistic with buyouts and other solutions to avoid failure). However, there are franchises that barely hang on, and the franchisees live with the stress of their franchise barely hanging on. This statistic is for all franchises and does not reflect medical franchises specifically. The business practices are similar in some ways and different in others, but the reasons medical franchises fail are very similar to franchise failures in other industries.
Here are three reasons franchises fail.
- Walking into the franchise ownership assuming it’s going to do the work for you. This expectation of automatic success is a recipe for disaster. You must be willing to put in the hard work and long hours to see it through.
- Hiring a good team is critical. If you don’t know how to hire, train or manage people to create a good work environment, it can create a downward spiral and a very frustrating work environment for all involved. This doesn’t automatically mean failure, but it can be the beginning of the end if you can’t keep employees on staff.
- The necessary research wasn’t completed before buying the franchise. This may not mean you weren’t thorough. This may mean you had blinders or rose-colored lenses on. It may also mean you weren’t sure about what to look for in the research and during the beginning stages of the process.
These three reasons medical franchises fail don’t encompass every reason. Look at this infographic for nine more reasons. By sharing these reasons for failure, it is our hope to help our franchise owners succeed. Contact us at Men’s Vitality Center for information on our men’s medical clinic franchises, currently in Arizona. We are looking to open locations in Colorado and expand our franchise to offer a great all-in-one location for men to seek out medical care that fits into their lives.