Franchising: Preparation for start-ups to a bank call

A successful conversation with your financial institution in the success of your business start-up is crucial. The preparation for this discussion is therefore of paramount importance. Usually it helps of the franchisor. A mature franchise concept can increase the chances significantly to lending and financing for your start-up project. So you do not blame yourself, you must be as entrepreneurs inadequately prepared, keep the following points, in regards to the preliminary conversation with the bank.

Business Plan

The business plan is in cooperation with the franchisor and the written report of the franchise concept is the best preparation for the bank. He is the principal basis. You should know the strengths and weaknesses in order to present the concept honest and convincingly. The development potential of the franchise concept should be part of the business plan and serves as a persuasive means for the bank. Ask the right person – for example, those responsible for start-ups. In addition, send him to the business plan of the bank. The contents conversation should focused on key points. A disadvantage would be here, if you read the entire business plan just. Important addition to technical or professional knowledge here is marketing, sales or financial planning expertise. Also, make sure that your language, your appearance and your clothes fit you and your projects. An installer must not appear in the suit. In contrast, however, you should dress appropriately, when you need later represent in business life.


If you may feel safer with a known people in your area, you can also take a person you trust to bank interview. In some cases , you can be accompanied by the franchisor.

Convincing presentation

Your concerns and the concept should be very well presented.Also, pay attention to your language. Do not be too scared and shy. You can use technical terms, if they are well suited but you have to ask your adviser about it. After talking for the funding decision, the savings bank or bank needed depending on the amount of credit, you will have to wait a few days or a few weeks.

Franchising: to target specific advertising

The coined by the American marketing expert Jay C. Levinson term “guerrilla” marketing is aimed precisely to target specific advertising. More generally, it refers to a specific form of marketing, the effect of surprise or the uniqueness of a promotion. It uses to attract the attention of a certain group of customers. The following mechanisms can be used here in order to achieve the goal and to attract the attention of customers:

  • Classic advertising courses
  • Surprise
  • Make fun
  • Violate rules
  • Shock
  • Breaking taboos
  • Schadenfreude promote
  • Mock
  • Scare

Also in the franchise area, the ideas of guerrilla marketing are taken up more and more. For example, on a McDonalds has approximately 17.2-acre cornfield in Nebraska (USA), a giant maze, “cut out”. The giant advertising screen takes visitors 45-90 minutes in an entertaining way by different symbol complexes that are associated with the brand McDonalds (e.g. an oversized McCoffee).

At the end of the “journey”, visitors will receive a voucher for one of the New McCafé Coffees. The U.S. food chain Kentucky Fried Chicken (KFC) striving for even higher targets: In the U.S. state of Nevada, they created a gigantic, consisting of approximately 65 000 30.5 x 30.5 cm large tiles depict your advertising icon “Colonel Sanders“. Since the unveiling of this gigantic advertising, the company prides itself on the only brand name company to be, which can be seen from space.

It is this example also shows that a too aggressive advertising campaign run can also cause the opposite effect. Thus, in some of these campaigns was the limit of “good taste” exceeded so serious that judges themselves to causes saw to prohibit the publication of individual campaigns for anti-competitive.

This in turn increases the awareness of the brand and can subsequently be reflected positively in the sales figures. Another big advantage of guerrilla marketing is its flexible application. All media can be used in different ways for different strategies. You just need a clever or unconventional idea to have and you can, in part, for relatively little money, a high advertising effectiveness achieved.

Franchise companies operate here often with advertising agencies that specialize in innovative and unusual advertising strategies.

Marketing in franchising and individual enterprises

One of the most interesting and most difficult topics in a planned business start-up is the question of the proper marketing structure. The possibilities are endless. There is a choice among other promotional literature, print media, cinema and television advertising and the Internet.

Besides the normal daily business, which can be particularly useful in the development phase is very time consuming, you have to budget planning, choosing the right media and the development of a powerful Campaign focus. Quick can make as wide overwork and frustration. Most of the marketing work of a franchisee is the headquarters of his company’s planned out and executed.

This in turn allows him more time to devote himself to establishing his fledgling company. Another big advantage for the franchisee to a “start-up on its own” is definitely in the levels of the advertising budget. While the individual entrepreneur, the cost of its advertising must deny to 100 percent of the proceeds of his business, the franchisee may here also count on the help of his franchisor.

The costs of central arise in planning and implementing a marketing campaign will be on the individual franchisees and folded by means of a pre-contractual advertising fee (usually depend on net sales) basis. This in turn is the major franchise companies the opportunity to work with a much higher advertising budget. The franchise giant McDonald’s for example, invests $ 2 billion in local and national advertising. The advertising budget, however, is not the all-important weapon in the fight for customers and sales.

Often by a funny or unusual idea can has more advertising effect. Now is increasingly difficult to draw the attention of people and to be trigger a buying response. At worst, the constant sensory overload when clients can even lead to subconscious defines reactions. Is the pre-selection of promotional tools, only met once follows, the next step is a careful analysis of target groups. Of course, here, the franchisee has clear advantages.