Many businesses have been struggling in the past few years. Here are some tips for franchisees:
- It’s nearly always hard to sell a business that’s not operating successfully, especially in a tough market. The chances are good that you won’t get much or anything if you try to sell the business.
- You always have the choice of hiring someone to run it, but that will simply add another expense to your already struggling business. If your motivation is that you can hire someone who will do a better job, then it might be enough to offset the extra cost. If you are thinking of getting another job to bring in more money than the other person will cost you, then this might be an effective idea. If neither of these is the case, you would probably only compound the problems you have by hiring another person.
- The worst of all options, but nevertheless possibly unavoidable, may be closing your doors. This route should be a last resort, but sometimes it is the one that makes the most sense. If you believe that no one will pay you anything for the business and you continue to lose money while operating the business, you have a decision to make. If you think things will turn around before you run out of money to feed the beast, you can continue operating. If you don’t, you’re probably better off closing it.
In any case, if you haven’t talked to your franchisor yet about this situation, that should be your first call. Perhaps the company can help financially or at least with other alternatives that might be better for you. It’s a good idea to find out what, if anything, it can do to help before you make any decisions.