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Critical Success Factors

Every good business manages critical factors that determine their success or failure.  When you evaluate a business franchise, you must know what those critical factors for success are in order to grow a successful business. 

Qualicare is an example of a franchise that provides skilled and non-skilled home care. They expect that their franchisees do a few critical things well. First, you must be able to listen to a prospective client and their family and clearly communicate how Qualicare methods will meet their needs. Second, you must also be able to manage caregivers effectively.  This involves outlining your expectations for all caregivers, monitoring their performance, and making sure your employees address necessary corrections.  Accomplish these two success factors well, and you are on a road to success.    

Extreme Pita is another example of a franchise that requires their franchisees to execute two critical factors.  First, you must insure that food preparation meets the franchise model with consistency. This includes compliance with all health code requirements and means that you present the customer with a fresh, appetizing experience every time. Next, you must hire and manage employees who will follow this standard. Accomplish these critical factors, and success should follow. 

College Nannies and Tutors requires a different skill set. Clients are parents of school age children who require additional help to improve their child’s classroom performance. You must listen to parents and understand what their needs are.  Then, you must communicate clearly how your tutors will meet this need. Second, you must clearly communicate the need to each tutor. Most of your tutors will probably be teachers with good skills. However, you need to insure that they use their skills to assist the student according to the expressed need. 

Matco Tools is yet another example. This business connects with auto repair mechanics to sell them the tools they need to complete work on cars. There are two critical factors important to the success of this business.  First, you must be able to connect with auto mechanics, understand their tool needs, and demonstrate how you can meet those needs with a good price and good service. Often, mechanics buy these tools on credit. You must be able to manage your accounts receivable and insure payment comes in. While you receive software to help you do this, you still must follow up to insure collection.      

When you evaluate a prospective franchise business, ask what the critical factors for success are. Then, ask yourself if you have the skills and experience to accomplish them.  Also ask  whether you want to make the critical factors a priority over anything else that might have drawn you to the business. When you can answer yes; then, you are ready to move on to the next stage in exploring the franchise.  

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