January 10th, 2022 | Franchising 101
Franchise Broker or Consultant? How to Choose
Franchise brokers and consultants help educate and assist you in choosing a franchise. Learn how to choose the best consultant or broker for your needs here.
How important is a franchise broker to a prospective franchisee?
Like matchmakers of old, brokers are trying to find the perfect connection between two parties. In the case of a broker, they hope to pair up the perfect franchise candidate with the perfect franchise for them. It can be just as important to find the right background and experience as it is to find the right culture fit for any given pairing.
The key to getting the most out of a franchise broker relationship is understanding that it’s the franchisor who pays the broker’s fee or commission. Ideally, a broker will represent many different franchisors in order to offer up the most diverse selection possible to potential franchise buyers.
What is the difference between brokers and consultants?
Arguably, anyone can call themselves a broker or a consultant. There is no licensing and there are no prerequisites to adopt the title, so the titles are often interchangeable. However, in most instances people differentiate by who is paying – a franchisor pays brokers to find qualified candidates; a consultant or consulting agency charges a franchisee for their franchise-finding services.
How do I choose a broker or consultant?
It’s as important to choose the right broker as it is to choose the right franchise. A commission-hungry and unscrupulous broker might hitch their wagon to a popular franchise and try to shoehorn in basically any franchise candidate they can find. For those kinds of brokers, the right fit doesn’t matter they’re all about the money.
But if you are truly interested in finding a franchise, do some due diligence on your broker candidates so you can be assured they’ll be able to work toward your best interests. Franchise Gator says you should check references and verify the broker’s professional experience. An experienced and reputable broker or consulting agency will ask a lot of questions about your background, your goals and your personal life and values in addition to what you think you’re looking for in a franchise. They may ask you to take some online personality assessments. In order to earn their commission, they need to bring qualified, suitable candidates to franchisors to make it as simple as possible for a deal to be done.
Discover HFC franchise opportunities
Home Franchise Concepts (HFC) is the parent company of numerous award-winning franchise brands. HFC makes it easy for motivated entrepreneurs to explore our nationally renowned service franchise opportunities, even if you don’t have a franchise broker or consultant. All our brands share a commitment to a world-class franchise model, flexibility and endless potential. Now is the time to capitalize on HFC’s 29+ years of franchising experience and follow your dreams of owning your own business.
HFC is a subsidiary of JM Family Enterprises, a privately owned company with assets greater than $17.5 billion. JM Family is ranked No. 17 on Forbes’ list of America’s Largest Private Companies and has been ranking as one of the 100 Best Companies to Work For® by FORTUNE® for 23 consecutive years. Our franchise brands include AdvantaClean, Budget Blinds, Concrete Craft, Tailored Closet, Kitchen Tune-Up, Bath Tune-Up, and most recently, Two Maids & A Mop, as well as Aussie Pet Mobile.
If you’d like to learn more about our award-winning family of franchise brands, just submit your information through our no-obligation form, and one of our HFC Franchise Development consultants will be in touch.