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Franchise Business Plan Template

Written by Dave Lavinsky

Franchise Business Plan Outline

  • Franchise Business Plan Home
  • 1. Executive Summary
  • 2. Company Overview
  • 3. Industry Analysis
  • 4. Customer Analysis
  • 5. Competitive Analysis
  • 6. Marketing Plan
  • 7. Operations Plan
  • 8. Management Team
  • 9. Financial Plan

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Franchise Business Plan

You’ve come to the right place to create your business plan.

We have helped over 10,000 entrepreneurs and business owners with how to create a franchise business plan to start or grow their franchises.

How To Write a Franchise Business Plan & Sample

Below is are links to each section of a franchise business plan example to help you start your own franchise business:

  • Executive Summary – This section provides a high-level overview of your business plan. It should include your company’s mission statement, as well as information on the products or services you offer, your target market, and your business goals and objectives.
  • Company Overview – This section provides an in-depth look at your company, including information on your franchise’s history, franchise business model, ownership structure, and management team. You will also include a copy of your franchise agreement.
  • Industry Analysis – In this section, you will provide an overview of the industry in which your franchise will operate.
  • Customer Analysis – In this section, you will describe your target market and explain how you intend to reach them. You will also provide information on your customers’ needs and buying habits.
  • Competitive Analysis – This section will provide an overview of your competition, including their strengths and weaknesses. It will also discuss your competitive advantage and how you intend to differentiate your franchise from the competition.
  • Marketing Plan – In this section, you will detail your marketing strategy, including your marketing initiatives and promotion plans. You will also discuss your pricing strategy and how you intend to position your own business in the market.
  • Operations Plan – This section will provide an overview of your store’s operations, including your store layout, staff, and inventory management.
  • Management Team – In this section, you will provide information on your management team, their experience, and their roles in the company.
  • Financial Plan – This section includes your company’s financial statements (income statement, balance sheet, and cash flow statement). It also includes information on how much funding you require and the use of these funds.

Next Section: Executive Summary >

Franchise Business Plan FAQs

What is a franchise business plan.

A business plan is a plan to start and/or grow your franchise. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your business plan using our Franchise Business Plan Template here .

What Are the Main Types of a Franchise?

About any type of business can be franchised. Franchises are categorized according to different factors like investment level, franchisor’s strategy, business operations, and marketing and relationship models. The most common types of franchises are job franchise, product or distribution franchise, business format franchise, investment franchise, and conversion franchise.

What Are the Main Sources of Revenues and Expenses for a Franchise?

The main source of revenue for a business franchise are franchise fees and royalty fees. Some also earn from other fees like distribution fees, site assistance fees, training fees, technologies, and rebates.

The key expenses for franchises are inventory, payroll, marketing and advertising, rent and loans.

How Do You Get Funding for Your Franchise?

Among the most common sources of funding for a franchising business are commercial bank loans, Small Business Administration (SBA) loans, personal savings and friends and family loans/gifts. There are also lenders that can supplement other loans with equipment financing and business lines of credit for franchise businesses.

This is true for a business plan for a franchise restaurant, a business plan for franchise store, or any other franchise business plans.

Where Can I Get a Franchise Business Plan PDF?

You can download our free franchise business plan template PDF here . This is a sample franchise business plan template you can use in PDF format.

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How to Write a Business Plan for Your Franchise This vital step can make the difference between success or failure in the franchise world.

By Clarissa Buch Zilberman • May 8, 2023

You're set on becoming a franchisee . You may think it's time to call a franchisor, tell them you're interested, and get funding from your local bank , right? Wrong.

If you're considering buying a franchise, you'll need to write a thorough business plan before moving forward.

A business plan is a detailed document that describes how your business will achieve its goals. Consider it an essential tool for any business owner — including franchisees!

Sound daunting? It can be. But it's a crucial and necessary step in starting your own business. Plus, becoming a franchisee means that the franchisor will provide some of the strategies, plans and overall business information , with some minor tweaks for your specific market.

Here's how to get started.

Related: Considering franchise ownership? Get started now and take this quiz to find your personalized list of franchises that match your lifestyle, interests and budget.

Start with comprehensive research

Before you can begin writing your franchise business plan, you need to gather information about your franchise business . Research the industry, market trends and competitors in the area. You should utilize a SWOT (strengths, weaknesses, opportunities, and threats) analysis of the business, as well.

Next, research the franchisor's history, vision, mission and values . This will help you understand the franchisor's expectations and see if your goals align with the brand. You may have already done a lot of this research when narrowing down your franchise choices .

Related: The 4 Biggest Myths About Franchising

Define your business concept and target market

Your business concept should include details about your product or service , pricing strategy, location, unique selling proposition and market advantages.

Much of this information will be supplied by your franchisor. However, make sure to tweak it correctly for your specific location and audience .

Develop a financial plan

A financial outline is a critical component of your franchise business plan. It should include details about your startup costs, ongoing expenses , revenue projections and profitability.

You should also share cash flow, balance sheets and income statements here. With these documents, you can readily identify any gaps in your business and develop strategies to address them.

Related: 10 Tips to Go From Employee to Boss, From Franchisees Who Did It

Outline your marketing and sales strategy

You may get a headstart from your franchisor on the marketing and sales strategy . This is where you'll want to include more information about your target audience, marketing channels and tactics to promote your business.

From a sales strategy perspective , include your pricing strategy, sales team structure and sales targets that are tailored to your area.

Develop an operations plan

Your operations plan should include details about your day-to-day work, staffing requirements and supplier relationships. You should also outline any technology and equipment needs, inventory management and quality control procedures , some of which your franchisor may dictate.

Create a management team and personnel plan

Your management team and personnel plan should detail the leadership structure of your business, each team member's role and responsibility and the qualifications and experience needed for each position.

You should also outline a staffing plan , which will include your recruitment strategy, employee benefits and training and development programs.

Create an executive summary

An executive summary is literally a summary of your business plan that will provide all the necessary information to someone who only has a few moments to review your business plan. It should summarize the key points of your franchise business plan and research.

Get started by outlining your business plan

A franchise business plan, at the minimum, should include the following sections :

  • Executive Summary: This section provides a brief overview of your business, your mission statement, goals and target market.
  • Company Description: This section includes more information about your business, such as what you do or sell, your company history and your management team.
  • Market Analysis: This section analyzes the market for your products or services, including your target market, competition and competitive advantage.
  • Operations Plan: This section describes how your business will operate, including your location, your marketing and sales strategies and management and staffing plan.
  • Financial Plan: This section projects your business's financial performance, meaning your revenue, expenses and profit.
  • Appendix: This section includes supporting documents, such as financial statements, marketing materials and legal documents.

A business plan will help you succeed

Writing a franchise business plan is a critical step in becoming a successful franchisee . It requires comprehensive research, a well-defined business concept, a solid financial plan, a strong marketing and sales strategy, a detailed operations plan and a competent management team.

Remember: It's a living document, so be sure to update it regularly as your business grows and changes. This will ensure that your plan always reflects the current state of your business.

Tackle a business plan logically and seek help from an expert or your franchisor, as necessary. Then you're off to get your loan, finish your applications and open your doors !

Related: Is Franchising Right For You? Ask Yourself These 9 Questions to Find Out.

Entrepreneur Staff

Freelance Writer, Editor & Content Marketing Consultant

Clarissa Buch Zilberman is a writer and editor based in Miami. Specializing in lifestyle, business, and travel, her work has appeared in Food & Wine, Realtor.com, Travel + Leisure, and Bon Appétit, among other print and digital titles. Through her content marketing consultancy, By Clarissa , she leverages her extensive editorial background and unique industry insights to support enterprise organizations and global creative agencies with their B2B, B2C, and B2E content initiatives. 

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

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Franchise Business Plan

franchisor business plan sample

You’ve finally decided to own a franchise business. Excellent. Entering a marketplace full of competitors and big industry names might seem overwhelming. However, a well-crafted business plan can provide a roadmap to success.

Are you looking to start writing a business plan for your franchise business? Creating a business plan is essential to starting, growing, and securing funding for your business. So we have prepared a franchise business plan template to help you start writing yours.

sample business plan

Free Business Plan Template

Download our free business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

  • Fill in the blanks – Outline
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How to Write a Franchise Business plan?

Writing a franchise business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section of the business plan intended to provide an overview of the whole business plan. Generally, it is written after the entire business plan is ready. Here are some components to add to your summary:

Start with a brief introduction:

Market opportunity:, mention your product or services:, management team:, financial highlights:, call to action:.

Ensure you keep your executive summary concise and clear, use simple language, and avoid jargon.

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2. Business Overview

Depending on your business’s details, you’ll need different elements in your business overview. Still, there are some foundational elements like business name, legal structure, location, history, and mission statement that every business overview should include:

About the business:

Provide all the basic information about your business in this section like:

Product distribution franchise

Management franchise, business format franchise.

  • Company structure of your business , whether it is a sole proprietorship, partnership or something else.
  • Location of your business and why you selected that place.

Mission statement:

Business history:, future goals:.

This section should provide an in-depth understanding of your business. Also, the business overview section should be engaging and precise.

3. Market Analysis

Market analysis provides a clear understanding of the market your business will run along with the target market, competitors, and growth opportunities. Your market analysis should contain the following essential components:

Target market:

Market size and growth potential:, competitive analysis:, market trends:, regulatory environment:.

Some additional tips for writing the market analysis section of your business plan:

  • Use various sources to gather data, including industry reports, market research studies, and surveys.
  • Be specific and provide detailed information wherever possible.
  • Include charts and graphs to help illustrate your key points.
  • Keep your target audience in mind while writing the business plan.

4. Products And Services

The product and services section of a franchise business plan should describe the specific services and products that will be offered to customers. To write this section should include the following:

List the services:

  • Create a list of the products or services your franchisee will offer. For example, if you own a fast-food franchise, you may include a menu description, pricing strategy, and specific services like takeaway, home delivery, drive-through facility, etc.
  • Describe each service: Provide a detailed description of what it entails, the time required, and the qualifications of the professionals who will provide it. For example, a Visual Merchandiser is responsible for creating attractive and effective displays in a clothing franchisee.

Emphasize safety and quality:

Overall, a business plan’s product and services section should be detailed, informative, and customer-focused. By providing a clear and compelling description of your offerings, you can help readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

Develop your unique selling proposition (USP):

Marketing strategies:, sales strategies:, customer retention:.

Overall, your business plan’s sales and marketing strategies section should outline your plans to attract and retain customers and generate revenue. Be specific, realistic, and data-driven in your approach, and be prepared to adjust your strategies based on feedback and results.

6. Operations Plan

When writing the operations plan section, it’s important to consider the various aspects of your business processes and procedures involved in operating a business. Here are the components to include in an operations plan:

Hiring plan:

Operational process:.

  • For example, McDonald’s has strict SOPs covering everything, including strict procedures for cooking, assembling, and packaging food, handling customers, and maintaining a clean environment.

Equipment & Technology:

By including these key elements in your operations plan section, you can create a comprehensive plan that outlines how you will run your business.

7. Management Team

The management team section provides an overview of the individuals responsible for running the operations. This section should provide a detailed description of the experience and qualifications of each manager, as well as their responsibilities and roles.

Key managers:

Organizational structure:, compensation plan:, board of advisors:.

Describe your franchisee’s key personnel and highlight why your business has the fittest team.

8. Financial Plan

When writing the financial plan section of a business plan, it’s important to provide a comprehensive overview of your financial projections for the first few years of your business.

Profit & loss statement:

Cash flow statement:, balance sheet:, break-even point:, financing needs:.

Remember to be realistic with your financial projections and provide supporting evidence for your estimates.

9. Appendix

When writing the appendix section, you should include any additional information that supports the main content of your plan. This may include financial statements, market research data, legal documents, and other relevant information.

  • Include a table of contents for the appendix section to make it easy for readers to find specific information.
  • Include financial statements such as income statements, balance sheets, and cash flow statements. These should be up-to-date and show your financial projections for at least the first three years of your business.
  • Provide market research data, such as statistics on the size of the industry, consumer demographics, and trends in the industry.
  • Include any legal documents such as permits, licenses, and contracts.
  • Provide any additional documentation related to your business plans, such as marketing materials, product brochures, and operational procedures.
  • Use clear headings and labels for each section of the appendix so that readers can easily find the information they need.

Remember, the appendix section of your franchise business should only include relevant and essential information supporting your plan’s main content.

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This franchise business plan sample will provide an idea for writing a successful franchise plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready franchise business plan to impress your audience, download our franchise business plan pdf .

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Frequently asked questions, why do you need a franchise business plan.

A business plan is an essential tool for anyone looking to start or run a successful franchise company. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your franchise business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your franchise business.

How to get funding for your franchise business?

There are several ways to get funding for your franchise business, but one of the most efficient and speedy funding options is self-funding. Other options for funding are:

  • Bank loan – You may apply for a loan in government or private banks.
  • Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
  • Angel investors – Getting funds from angel investors is one of the most sought options for startups.
  • Small business grants – there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your franchise business?

There are many business plan writers available, but no one knows your business and idea better than you, so we recommend you write your franchise business plan and outline your vision as you have in your mind.

What is the easiest way to write your franchise business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any franchise business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software.

About the Author

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Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Home > Blog > Franchise Development > How to Write a Franchise Business Plan

How to Write a Franchise Business Plan

Entrepreneurs who have decided to franchise their business owing to its past success and ability to replicate the business idea will need to write a business plan for a franchise. In many cases, this business plan will share many similarities with business plans for start-ups. However, a fundamental difference is that a franchise business plan must cover two types of target audiences: prospective franchisees as well as their customers.

In a sense, this is what sets a franchise business plan apart from other business plans that may apply to sole proprietors, limited liability companies, partnerships and others. In this article, we explore what a franchise business plan is, why it is important for your franchise business and how to write a business plan for a franchise.

Table of contents:

What is a franchise business plan?

Why you need to create a business plan, why franchisors are looking for business plans from their franchisees, important elements you need to include in your franchise business plan, how to create a franchise business plan, concluding remarks.

A franchise business plan is a document that is prepared by the entrepreneur in question when they wish to franchise a business. This document is extensive and plays an essential role in the business’ future development.

A franchise business plan is a living document that will require input from management and team members and which will be adjusted over time to meet the goals and aspirations of the business owner.

However, in short, a franchise business plan is a “roadmap” which methodically sets out how business objectives will be achieved. It can be used both internally and externally.

Internally, it can be used by management teams to check whether the business is on track with its predetermined objectives.

Externally, it is presented to lenders for financial assistance. Such lenders will then evaluate the depth, complexity and potential for profitability and returns of the business in question. They will then decide whether or not to award a prospective franchisor the necessary capital to proceed with the next step towards franchising their business and the likelihood and time frame for such capital to be repaid.

a group of colleagues creating a business plan

As a “roadmap” to a franchise business’ future structure, operations, organisational team, marketing strategy , financial projections and more, the importance of a business plan cannot be overstated.

There are several crucial reasons that you should consider when it comes to the question: why write a business plan in the first place?

Here are some of them:

  • Clarify and evaluate your franchise business idea from multiple angles for more certainty and higher chances of success.
  • Helps with goal setting and expansion/growth plans including sales, marketing and business operations.
  • Enables you to identify potential problems that could arise and how you can circumvent them.
  • It acts as a way of tracking your progress.
  • Gives you more clarity about your financial needs and the projected financial returns you can expect.
  • Assists with strategic planning over the short, medium and long term as it involves detailed research into a wide number of stakeholders.
  • Communicates your vision to prospective employees and investors, giving them more confidence in your franchise venture.
  • Attract funding from investors, banks and lenders.

When a franchisee expresses interest in a franchise opportunity , franchisors may require that these franchisees prepare a business plan.

This business plan is presented to lenders to enable them to assess whether the prospective franchisee is as thoroughly prepared for the business journey ahead to make it as successful as possible.

The primary purpose of determining this is through a detailed business plan that sets out the franchisee’s organisational structure, operations, market research, marketing plans, financial projections and more.

Whereas a franchisor can often offer help to a franchisee in developing their business plan, financial projections are typically not included by the franchisor because this could have important legal ramifications.

A further reason why a franchisor requires a business plan from their franchisees is to determine whether the franchisee is able to handle and abide by the franchise business model whilst serving the franchisor’s customers in a manner that ensures consistency across the brand.

Your franchise business plan should contain several important elements. Although these may differ from one franchisor to the next, some of the sections are standard and uniform across the board.

These may include:

  • An executive summary: this is the first page of the franchise business plan and contains a concise summary of everything that is contained in the remainder of the document. As such, it is usually written last. It can be divided into three sections: a business summary, business aims and a financial summary.
  • Company description: the company description contains information about the type of business in question, who it is led by, the background, education and previous experience of the owner and what value they bring to the business.
  • Mission and vision statement : the mission statement is generally expressed as a sentiment that is about one sentence long. It indicates what purpose the business seeks to achieve. The vision statement on the other hand is what the business’ meaning and purpose is for each of your stakeholders.
  • Business structure : since your focus is on creating a franchise business, the business structure to be clarified here is a franchise business.
  • Products and services : other aspects that need to be clarified are what products and/or services your business will be providing to its customers. If you are offering a variety of these, consider grouping similar ones together and describing them briefly. If you are only going to offer one product/service or a handful, you can spend more time describing each one in detail.
  • Industry analysis : studying the industry in which your franchise business will operate is also important to show lenders that your business idea is viable and replicable. Industry analysis will start with what other companies (i.e. your competitors) are offering the market, what prices they are asking for their products/services, where they are located and how you plan to strategically position your franchise business so that you outperform them.
  • Market analysis : as part of the market analysis, you will need to conduct customer segmentation. This will necessarily involve identifying your target market and their needs as well as determining strategies of reaching them and winning them over to your franchise product or service offering.
  • Logistics and operations: logistics and operations refer to the actual production or service delivery activities that you will be carrying out, how you will do so, at what cost, where and when, as well as how frequently these logistical aspects will need to be employed.
  • Marketing plan: a detailed marketing plan is created after conducting market research and analysis. The plan will contain the strategy through which customers will be marketed to in terms of new promotions/discounts, special offers, company news, raising brand awareness, boosting sales, measuring key performance indicators (KPIs), refining the strategy and measuring its success.
  • Franchise Marketing Plan Download
  • Business management and organisational structure: this section will contain details of the leadership and management of your franchise business as well as a brief outline of what skills, knowledge and experience each person brings to the table.
  • Financing projections/financial plan: this is possibly the hardest but most important section to prepare because it will undertake number crunching, forecasting and analysis.
  • Appendix: use the appendix to attach any relevant documents to support any preceding section of your franchise business plan.

Knowing more about the various elements that go into a franchise business plan, you can now proceed. Below are some steps to follow in the process of how to write a business plan for a franchise.

Step 1: Present your business and your business idea

Since you already have a successful business behind you and you are seeking to branch out into franchising, you need to indicate why your idea can be replicated successfully in different territories.

Talk about the history of the business, the ownership structure, when it started trading and its progress to date.

Discuss your products and/or services mentioning what sets them apart and what benefits they offer. Are you planning on introducing an entirely new concept to the industry? Are there any disadvantages that you foresee and how will you deal with these?

Step 2: Highlight the key features of the industry

Mention any industry regulations that must be abided by, what types of companies dominate the industry and who the major players are, what key features of the industry need to be known, etc.

Step 3: Specify your target market and competitors

Your target market and competitors should be clearly identified as should the market in which you will be operating.

Target markets and ideal customer personas should be identified including their key demographic information and what influences their purchasing decisions.

Clarify what size of market share you aim to acquire and the steps for doing so.

Outline your primary competitors. Pay special attention to emphasising what their advantages and disadvantages are compared to your franchise business offering.

It’s important to never openly criticise your competition. Instead, approach any references to them with due respect.

Step 4: Outline your marketing and sales strategy

What price will you charge for your products or services – low, mid-range or high? What is the unique selling point that you will seek to emphasise? Do your products or services have unique features and how will these be set apart from competitors? Which marketing channels or combinations thereof will you use? What are your monthly, quarterly and annual sales KPIs and how will your marketing strategy help you reach these?

What will your marketing budget be? What measures will you put in place to test, refine and measure the success of your marketing and sales efforts? How will sales be conducted – online, over the phone, or over the counter at a retail outlet? What is your anticipated cost per acquisition? How will you seek to reduce this? How will you differentiate between marketing for franchisees and marketing for your customers?

Step 5: Note your organisational structure and staffing needs

Who will sit on your management team and what skill set do they bring to the table? Who will be responsible for what department in your franchise business?

How many staff members will you start out with? What will their key roles and responsibilities be? How much will it cost you to retain your staff on a monthly basis?

Also important is the recruitment of franchisees. Will you have a dedicated team to train and support these and what kind of support will you offer? What will be the defining characteristics of your franchise offering and unique selling points?

Step 6: Clarify the intricacies of your business operations

Where will the franchise business headquarters be located? In which territories will future franchisees operate? How will the division of territories be undertaken (if any)?

Do you make use of production facilities? If so, how will you streamline your logistics processes to ensure that your franchisees benefit from these operations?

Will you need to make new investments in equipment? How is your existing infrastructure able to support future growth and further expansion?

What are the relationships with your suppliers like and who are they? What sort of pricing structure can they offer your future franchisees to enable them to optimise their investment?

Step 7: Prepare your financial forecasts

Start out by presenting your sales, income, turnover, profit and other historical figures to provide proof of your current business’ success before you turn to franchising. Going back between three to five years should be sufficient.

What is the gross margin on each product? How does capital flow in your business in terms of stock, debtors, creditors, etc.

What major financial investments have you made and what have been the results of these? Offer an updated balance sheet including a profit and loss account. Provide comparisons with industry norms.

Once the historical aspect has been taken care of, it’s also advisable to create forecasts for the next few years. If you make any assumptions for any of your forecasts, each of these should be explained and supported in full.

How realistic are your forecasts? Never try to inflate projected income, sales, profit, turnover or other amounts. Be as realistic as possible. Factor into account that payment delays may occur. How do you plan on dealing with these?

Specify the type and amount of financing you are looking for. Is it a medium- or long-term loan or an increased overdraft facility? What interest rates and instalment amounts can you afford to pay over the loan period?

Franchising your business will require a franchise business plan to put your goals into perspective and to help lenders back your business idea. And although it can be quite a detailed process, there are several key steps you can take to prepare a thorough and detailed business plan to convince lenders to support your franchise business.

In the beginning of the journey to franchising, many franchisors struggle to implement effective strategies and plans to set them up for success. But there is help at hand. Join our How to Grow Your Franchise Sustainably Without Costing Your Personal Life masterclass to find out about how the 5Fs Franchising Model has been implemented successfully across multiple global franchises and how you can achieve a greater work-life balance by prioritising better and making the most of your existing infrastructure and network.

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With most franchisors having internal marketing departments, you will be well aware that this task has been highly labour-intensive until now. Over the past few years, and especially the last few months, there’s been a rise in artificial intelligence (AI) tools. Siri and Alexa aside, many franchisors already use AI in their marketing efforts in … Continued

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Franchise Business Plan Template

Whether you want to start your own franchise business or expand an existing one, you need a business plan. the following franchise business plan template lets you know what elements you need to include in a successful franchise business plan., fill the form to download business plan templates.

To ensure your franchise business success in this highly competitive market, you need a properly structured franchise business plan. With over 12 years of experience, we have helped over 5,000 entrepreneurs create business plans to start and grow their franchise businesses. Using the following franchise business plan template, you can put together an effective business plan.

Things to Know Before Writing a Franchise Business Plan

The franchise business industry has two primary agents; franchisor and franchisee. A franchisor is the business system/brand owner, and a franchisee is an entity that rents the business system/brand name against a fixed initial fee and royalty. 

A franchise business plan is popular in many industries. Popular franchise systems are fast food chains like McDonald’s, KFC, Subway, etc. You can find a franchise opportunities in many industries. 

A franchisee operates a business location under the guidelines of the franchisor. You have little freedom to experiment with new things. 

The FDD, or Franchise Disclosure Document, is the legal contract between a franchisor and a franchisee. FDD has details of the rights and responsibilities of the two parties. This is generally a lengthy document. You need to understand it before you buy a franchise. 

The franchise industry is growing fast. As International Franchise Association (IFA) reports, 2022 is the year of opportunity for franchises. 

The estimated number of total franchises in 2021 was 774,965 with a total number of employees at 8,192,600, and an output of $787.7 billion. 

The total GDP size of the franchise economy in 2021 was $474.2 billion. The growth projections for franchises in 2022 stand at 2.2%. 

These are the top industries with the most number of franchises. 

  • Quick Service Restaurants (188,402 franchises)
  • Retail Food, Products, and Services (162,579 franchises)
  • Personal Services (114,012 franchises)
  • Business Services (99,296 franchises)
  • Commercial & Residential Services (75,678 franchises)

Key Success Factors for Franchise Business

A franchise business has different dynamics as you are selling an established brand to a market with a demand for that brand’s products or services. 

We have identified these five factors that play a crucial role in making a franchise successful. 

  • A Loyal Customer Base for the franchisor brand makes sure you’ll have enough demand to successfully run your franchise business 
  • A Clear Market Position . This means that you are selling products where there is a need and where the brand fulfills that need. 
  • Franchisor Business Operating Expertise : When a franchisor has business expertise, chances are they will better lead the industry and develop the market for the brand 
  • Established Brand Name : Running a McDonald’s franchise is far more profiting than a Huddle House
  • Ability to Control Stock: When franchisees can control stock locally, they can meet increased demand, control costs, and reduce waste. 

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What is a Franchise Business Plan?

A franchise business plan is a roadmap for starting and growing your franchise business. Your business plan outlines your business concept, identifies your target customers, presents your marketing strategy, and details your financial projections.

Any bank or investor you approach will require a franchise business plan, so putting one together will be critical to securing funding.

In short, writing a business plan can help you succeed if you’re thinking of starting a franchise business or pitching to investors or venture capitalists.

Franchise business plan

Why You Need a Franchise Business Plan

Franchise business plans can be used to gain interest from potential investors or to secure loans from banks. They are also helpful to you as the owner. A franchise business plan allows you to thoroughly analyze every aspect of your potential business.

A solid, detailed plan gives you a clear path to follow, forces you to examine the viability of a franchise business idea, and may help you better understand your company’s finances and competition.

A franchise business with a plan grows 30% faster than the rest. On the other side, if we look at the fast-growing companies, 71% of them have a business plan .

A franchise business plan is a living document that should be updated annually as your company grows and changes.

Free: Franchise Business Plan Examples

Do you need help creating a franchise business plan? Check out these six free, proven franchise business plan examples from different industries to help you write your own.

Funding Sources for Franchise Business

Conventional Banks and Credit Unions

You can get a loan from banks, credit unions, or other financial institutions. Getting such a loan for a franchise business depends on many factors including turnover, credit history, and expected revenue of the business. 

SBA regularly offers loans, grants, and lifelines for small businesses. Keep an eye on the 7(a) program that is aimed at small businesses in the early stages. 

Business Partners 

A franchise business is a high investment business. Consider adding business partners to create a money pool big enough for the business needs.

Retirement Funds 

If you have retirement funds available, you can use retirement funds or 401k for starting a franchise. 

Securities-Backed Line of Credit

if you have an investment portfolio, you can get a line of credit against those securities. These securities will serve as loan collateral. 

Equipment, Machinery, and Furniture Lease

You can get franchise machinery, vehicles, computers, furniture, and other equipment at lease. If you get an equipment lease, you may also get a buyout for $1 when the lease term ends. 

Looking to Build Business Credit for Your Franchise?

A franchise business’ success is partially determined by its supply chain. We can help you purchase goods and services on Net 30 terms. Create a net 30 account with us and start building your business credit. 

How to Write a Franchise Business Plan

To write a franchise business plan, you don’t need to be an expert. Our step-by-step guide will show you how to write a franchise business plan, or you can just download our proven  sample business plans  to get a better idea.

Free Franchise Business Plan Template in PDF and Word

Download our franchise business plan template in PDF and Word here.

Executive Summary

The executive summary is the most important part of the document since it outlines the whole business plan. Despite the fact that it appears first in the plan, write the executive summary last so you may condense key concepts from the other nine parts.

It’s a part that catches the investor’s eye and provides key information about your company’s overview and upcoming short- and long-term goals.

Tell them what kind of franchise business you have and what stage you’re in; for example, are you a startup, do you have a franchise already that you want to expand, or do you have a lot of franchise businesses?

Finally, an executive summary should provide investors with a preview of what they may expect from the rest of your document.

  • Provide a high-level overview of the franchise industry
  • The name, location, and mission of your franchise company
  • A description of your franchise business, including management, advisors, and a brief history
  • Discuss the type of franchise business you are operating, Give an overview of your target customers., and how your company differs from competitors in the industry
  • Create a marketing plan that describes your company’s marketing strategies, sales, and partnership plans.
  • And give an overview of your financial plan

Check out these executive summary examples to help you write a perfect one for your franchise business plan.

Free: Franchise Business Plan Executive Summary Examples

An executive summary is the most important part of your franchise business plan, and it need not be challenging to write. This is why we have put together some awesome free Executive Summary examples for you.

Company Analysis

  • Company summary: Your company analysis will describe the type of franchise business you are running and its future goals. The type of franchise business you might be focused on  (for example,  Quick Service Restaurants, Retail Food, Products, and Services, Personal Services, Business Services, or Commercial & Residential Services)
  • Company history: When and why did you start your franchise business?
  • What milestones have you achieved so far? Your milestones could include served 100th customer, new fleet purchase, etc.
  • Legal structure and ownership: Do you have S-Corp status? Is it an LLC ? A sole proprietorship ? Describe your legal structure.
  • Mission statement: An overview of your franchise company’s guiding principles. Learn how to write a perfect mission statement .

Industry Analysis

The franchise business plan’s research section will most likely be the most time-consuming. Here, you will elaborate on how you will fit into the existing franchise market.

Since your research findings should serve as a sound confirmation of the conclusions you have outlined thus far, they will demonstrate your understanding of the industry and market.

Industry analysis can be presented as a 8-step process when written as part of a company’s business plan.

  • Give a quick overview of the franchise industry. Define the franchise business in terms of size (in dollars), historical background, service region, and products.
  • Examine previous trends and growth patterns in the franchise industry.
  • Identify the market’s major competitors.
  • Age, gender, and general lifestyle of the targeted market
  • Determine the factors that have an impact on the franchise industry. These might include government regulatory rules and other businesses’ competitive activities.
  • Using research data, the industry forecast expected growth over the next five to ten years. Predictions should be made for both the long and short term.
  • Describe how your franchise business intends to position itself in the industry. Concentrate on how your franchise business can benefit from opportunities highlighted in the industry.

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Customer Analysis

The first condition for franchise business is to identify its target customers clearly. Different franchise business have different customers. 

The customer analysis section is an important part of any franchise business plan since it evaluates the consumer segments that your company serves. It identifies target customers, determines what those customers want, and then explains how your franchise items will meet those requirements.

Customer analysis may be divided into two parts: psychosocial profiles (why your franchise items suits a customer’s lifestyle) and demographic profiles (descriptions of a customer’s demographic qualities).

With regards to demographics, include information about the ages, genders, locations, and income levels of your customers. When targeting businesses, describe what kind of business, size, and location your target customers have.

The psychological profiles of your target clients reveal their wants and needs. The better you understand and identify these demands, the better you can attract and retain customers. 

Competitor Analysis

It is necessary to do a competitor analysis. Because you may use their data to define your goals, marketing plans, tactics, new product lines, pricing, and more. Use competitor analysis to:

  • Identify the strength and weakness of your franchise business competition.
  • Search for opportunities to distinguish your franchise from competitors.

The first step is to determine who your direct and indirect competitors are.

The direct competition consists of other franchise businesses that offer the same goods or services to the same audience. 

Your indirect competitors are other options that customers have to purchase from you that aren’t direct competitors.

Among indirect competitors are the business selling similar product or service. For example, if you have McDonalds’ franchise, someone selling Chinese or Italian food is your indirect competitor. 

Once you’ve identified the competition, concentrate on the direct, head-to-head competitors, since they are the most threatening to your franchise business— but keep an eye on the indirect competition as well, just in case.

Provide an overview of each direct competitor’s business and detail their strengths and weaknesses.

You will be able to position yourself competitively in the market if you perform proper competition research. Perform a SWOT Analysis to learn your competitors’ strengths, weaknesses, and competitive advantages in the following areas:

  • Prices – Are they offering cheaper products or services than you and other competitors, what value do buyers get for that price?
  • Quality – Are they offering premium quality? What is the perceived worth in the eyes of the customers?
  • Customer service – How they respond to their consumers, whether they treat them poorly or well, and the degrees of satisfaction customers show
  • Reputation — The sum of everything mentioned above: their credibility, how loved the brand is, and the loyalty of their customers

The final section of your competitive analysis should include a list of your areas of competitive advantage. For example, how will you offer better value at competitive prices for the target market.

Consider how you will outperform your competitors and include them in this portion of your  franchise business plan.

Free: SWOT Analysis Examples

Take advantage of our free SWOT analysis examples. Make your business future-proof by identifying your strengths, weaknesses, opportunities, and threats using this free SWOT Analysis Template.

Marketing Plan

Creating a marketing plan for a franchise business involves identifying the target demographic and finding the goods and services that suit their preferences.

As part of your marketing plan for a franchise business, you should include:

Pricing and Product Strategy

Your franchise business must offer goods or products that are different from those of your competitors. Research what your competitors offer and how they price their offer. 

Placing and Promotions

Place explains the location you’ll chose for your franchise and the reasons of the selection.

Promoting your franchise business is the final part of your marketing plan. In this step, you document how you will drive customers to purchase your goods or services. A few marketing methods you could consider are:

  • Marketing on social media
  • Web Marketing
  • Organize events
  • Local Newspaper and TV ads
  • Banners and Bill boards 
  • Local Radio Ads 

You should also think about your franchise company’s Unique Selling Proposition (USP), which should explain why clients should choose you over other franchise businesses. Ensure that your USP is reflected in your marketing.

Pro Tips: Learn how to create a marketing plan in a business plan .

Operations Plan

While the previous sections of your franchise business plan described your goals, your operations plan discusses how you will achieve them.

An operations plan section in a business plan is helpful for investors, but it’s also helpful for you and employees because it pushes you to think about tactics and deadlines.

Your operational plan should be able to answer the following questions:

  • Who – Personnel in charge of completing specific tasks.
  • What – A breakdown of the responsibilities of each personnel.
  • Where – The location of everyday operations.
  • When –The deadlines for completing tasks and goals.
  • How much – The amount of money required for each department to perform their job.

Your operations plan should be divided into two individual parts, as seen below.

Your daily short-term processes include all the tasks involved in producing goods or services, managing operations, selling, employee management, etc. 

Long-term goals are milestones you hope to reach. they might be growing your business, such as introducing new items or retail outlets, meeting particular sales milestones, and meeting other essential business-oriented goals like recruiting more staff, opening additional locations, and so on.

Management Team

When writing a franchise business plan, the management section of a business plan outlines your management team, staff, resources, and how your business ownership is structured.

This part may be easily organized by dividing it into the following points:

Ownership Structure

Internal Management Team

External Management Resources

Human Resources

This section outlines your franchise business’s legal structure. An LLC or a Corp is favored in the franchise business ecosystem. 

This section should not only outline who is on your management team but also how each person’s skill set and experiences will contribute to the growth of your franchise business. Ideally, you and/or your team members have direct expertise in the franchise business. If this is the case, highlight your experience and skills.

Think of these external management resources as your internal management team’s backup. Consider forming an advisory board if your team is lacking expertise and experience with franchise business.

An advisory board would consist of 3 to 7 people who would serve as mentors to your franchise business. They would help with strategic direction and strategy advice.

If necessary, search for advisory board members with expertise running franchise business.

Describe all of your company’s external professional advisers, such as accountants, bankers, attorneys, IT experts, business consultants, and/or business coaches. 

The final topic to consider in the management area of your franchise business plan is your human resource needs.

Financial Plan

As part of your financial plan in a business plan , you should present a 5-year financial statement broken down monthly or quarterly for the first year, and then annually. Financial statements include your income statement, balance sheet, and cash flow statement.

Income Statement

A profit and loss statement is more commonly called an income statement. It shows your revenue and subtracts your expenses to determine whether you were profitable or not.

As you develop your income statement, you need to develop assumptions. Will you serve 50 customers per day or 200? Will sales grow by 2% or 8% per year? Your choice of assumptions will greatly impact your business’s financial forecasts. Conduct as much research as possible in order to ground your assumptions in reality.

Free: Income Statement Template

Create a financial statement for your franchise business by downloading our free income statement templates.

Balance Sheet

While balance sheets include much information, to simplify them to the key items you need to know about, balance sheets show your assets and liabilities.

The balance sheet shows your franchise business’s net value at a specific point in time. It categorizes all of your company’s financial data into three categories:

  • Assets: Tangible goods with the monetary worth that the company owns.
  • Liabilities: Debt owing to a company’s creditor.
  • Equity: The net difference when the total liabilities are subtracted from the total assets.

The equation that expresses the relationship between these financial data elements is Assets = Liabilities + Equity.

Create a pro forma balance sheet for your franchise business plan that highlights the information in the income statement and cash flow projections. A balance sheet is normally prepared once a year by a company.

Balance sheets indicate your assets and liabilities, and while they contain a lot of information, they are simplified to highlight the most important things you need to know.

For example, spending $500,000 to build out your franchise will not result in instant revenues. Rather, it is an asset that should help you earn money for many years to come.

Similarly, if a bank sends you a check for $200,000, you do not have to pay it back right now. Rather, that is a liability that you will repay over time.

Cash Flow Statement:

Your cash flow statement will help you determine how much money you need to start or grow your franchise business. In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a franchise business:

  • Fees for registering a franchise business
  • Taxes and licenses costs
  • Business insurance
  • Payroll or salaries paid to staff
  • Facility rent and security deposits
  • Construction / remodeling
  • Start-up Inventory

Free: Balance Sheet Template

Create a financial statement for your business by downloading our free balance sheet templates.

List any additional material you cannot include elsewhere, such as resumes from key employees, licenses, equipment leases, permits, patents, receipts, bank statements, contracts, and personal and business credit histories.

Attach your full financial projections along with any supporting documents that make your plan more compelling in the appendix.

Bonus Tip: Learn what to include in a business plan appendix when writing a business plan.

Summary of the Franchise Business Plan

A franchise business plan is a worthwhile investment. As long as you follow the template above, you will become an expert in no time. By following the template, you will understand the franchise business, your competition, and your customers. The plan will help you understand the steps necessary to launch and grow your franchise business.

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Also, you can download our 300+ free business plan templates covering a wide range of industries.

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Since 2010, Wise business plans’ MBA professional business plan writers has developed business plans for thousands of companies that have experienced tremendous success.

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Creating a business plan for your franchise: what to prepare before asking for money.

🕒 Estimated Reading Time: ~8 minutes

Creating a Business Plan for Your Franchise

Congratulations! You’ve decided that owning a franchise is the right investment for you. You may have even already decided on the type of franchise, and maybe even the franchise brand you are going to pursue.

What’s next? Financing. Securing the funding needed to make your franchise dreams a reality. And unless you are one of the fortunate people that has enough money saved to cover costs, you will likely be seeking a lender to make up the difference between the amount of money you currently have to invest and amount of money needed to open and maintain your franchised business until you 'break even.' (Breaking even is the point in the lifespan of a business where the operation starts turning a profit.)

To convince lenders that you are worthy of their money, the creation of a business plan is crucial. Lenders use a business plan as a guide to assess whether the prospective franchisee is a on a path towards success and profitability.

To approve loans, lenders want to have a clear, straightforward account of the business to be opened, the principals involved, and—perhaps most importantly—perspective on when the borrowed money will likely be repaid.

It's helpful to prepare for the meeting with the lender like a college graduate student would prepare for a thesis defense presentation. In both instances, it is the goal of the person (or people) going into the meeting to have done the adequate level of research necessary to competently back up the stated claims for the desired result (be it the granting of a master's degree to the student or the gaining of a loan for the prospective franchisee).

Lenders use a business plan as a guide

Important note: the business plan isn’t just for getting money.

Not only does a business plan help in securing funding, it forces you to take a hard look at the investment you are about to make. It gives you a chance to anticipate the challenges that come with opening a business, and temper unrealistic expectations.

As time passes and you move further into franchise ownership, the business plan you’ve created should be updated and utilized as a guide in helping you reach your franchise goals.

Parts of a Business Plan

Creating a business plan doesn't have to be complicated.

There is no standardized length for a business plan, but no lender wants to read a novel-length presentation. The main thing is that the plan is thorough enough to cover all aspects of your individual franchise. You want to give the lender confidence that you are prepared to take on the managing of a business that will turn a profit in a reasonable amount of time.

The key is compiling the proper information to address the reservations of the lenders you will meet with. This is where opening a franchised business offers a notable advantage over an independent business.

The franchise disclosure document (FDD) provided by the franchisor of the system you are investing in contains a great deal of the information needed to complete a business plan.

This information includes the company’s corporate background, a description of the target market, the competitive advantage of the product/service, marketing initiatives, plus the start-up and ongoing costs. Some franchisors even offer assistance to franchisees in the preparation of the plan.

Common parts of a business plan include the following, according to the Small Business Administration  (a sample business plan is located at the end of this article):

Company description: A good place to look for the information for this section is Item 1 of the FDD. Provide an overview of the franchise and its history to the lender. You will also provide a brief outline of the franchise’s service/product (more detailed information will be given in the next section).

Service/product description: Describe in detail the service and/or product your franchise will provide to customers. This section can be combined with the company description. Again, Item 1 of the FDD is where you will find much of the information you need for this section. Item 16 will also be helpful in discussing what you will and will not be able to sell as a franchisee of a particular franchise system.

Common parts of a business plan include

Market analysis: Use this section to prove to the potential lender that you are not jumping into a business venture on a whim. Concentrate on the specific area (market) in which the franchised business will be located. The territory description in the FDD (Item 12) will help you to a point.

Give a brief discussion of the following:

  • How big is your market?
  • What kind of people (demographically and financially) make up this market?
  • Is the market under-served in regards to this service/product?
  • If there is competition, who are your competitors and what is your competitive advantage?
  • Discuss what experts are forecasting for the service/product in terms of trends and growth possibilities for your specific market (can include demographic, legislative or environmental factors).

Management structure: This section provides a look at the people who will be responsible for the day-to-day operation of the franchise, particularly you as the owner. Is this venture going to be a sole proprietorship or will there be multiple owners? Explain if you will be involved day-to-day with business operations, or will be acting as an absentee owner.

For yourself and all of the others with an ownership stake, if applicable, detail all business qualifications. Stress any and all experience (even if volunteer) that is relevant to being successful in the future with the franchise operation. Item 15 of the FDD will help with explaining the managerial obligations of the franchisee.

Marketing plan: 'How are you going to get customers?' is the main question you’re answering in this section. Use FDD Item 11 to your advantage here. It provides an overview of the franchisor’s advertising and marketing efforts. Also, it provides a description of the training you will complete before opening. Often marketing and sales courses are part of required training.

Financials: This is the meat of your business plan. In this section, don’t only ask for the money you need. Give the lender the big picture of your financial situation as well. Detail how you are going to obtain the entire initial investment. Often times, a lender will not be financing all of the franchise investment. Are you using a mix of personal savings, loans, credit, etc.?

In addition to the funding request, you will be doing some financial projection. Give a reasonable time frame when the lender can expect full repayment of the loan, and back up that claim with figures. Include graphs and charts detailing the start-up costs, projected profit and loss and projected sales forecast for the franchise.

The franchisor can be of significant help to you in completing this section (via Items 5 and 19 of the FDD, and in direct conversation). However, keep in mind the franchisor is restricted legally about making certain claims about projected earnings. Be conservative with the projections as unexpected delays and unforeseen circumstances do happen.

Appendix: The appendix technically isn’t a part of the business plan, but an additional section to present items that would enhance your presentation. Include items you feel would be necessary to giving the lender a complete picture of you and the franchise you are seeking financing for. Examples include: the resumes of management figures, tax returns, media clippings, etc.

The best outside source of information to complete your business plan is the franchisor

As previously mentioned, the best outside source of information to complete your business plan is the franchisor. No other outlet is going to know that franchise system better. 

Additional resources include online sites such as Bplans.com, which offers site visitors a substantial library of sample plans to review, as well as general business websites like the Small Business Administration. Prospective franchisees can also use a professional business plan writer, particularly for the review of a plan before sitting down with the lender.

Confidentiality agreement: Because business plans contain sensitive and confidential information, the content needs to be safeguarded against potential leaks. To do this, you will need to enter into a confidentiality agreement with the parties you allow to review your business plan.

The agreement will bind them not to disclose or reveal any confidential information they receive, without your written permission.

Sample Business Plan Confidentiality Agreement Template

Sample franchise business plan: Please note that the example business plan linked below is a sample of one way to format a business plan. There are several different acceptable formats, and the contents of business plan sections will vary significantly due to factors including the franchise system, the type and amount of loan sought, the franchisee’s background, etc.

Sample Business Plan

Suggested reading:

  • The Ultimate Guide to Franchising
  • What is Franchising?
  • The Benefits of Franchising
  • Choosing the Most Profitable Franchise for You
  • 11 Key Steps in Opening a Franchise
  • Franchises vs. Business Opportunities
  • The Cost to Start a Franchise and Financing Options
  • Basics of the Franchise Disclosure Document (FDD)
  • Creating a Business Plan for Your Franchise
  • Completing and Signing a Franchise Agreement

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Franchise Business Plan Example Presentation

Franchise Business plan

The first and most fundamental principle of franchising, Franchising prosperity doesn’t quite develop by chance. A franchise business plan increases the likelihood of a new franchisor and the franchise’s success by twofold.

Secondly, Businesses operate since they stick to a well-defined and well-executed strategy.

Over 543,000 new firms start in the United States every month, yet only 7 out of 10 survive after two years , while 5 out of 10 survive after five years. 

Surprisingly, over 70% of organizations that survive for five years follow a strategic business strategy.

The finest strategies begin with a particular goal and then establish objectives and techniques to help you achieve it.You should identify a few franchise-specific points in your business plan to franchise.

What is a franchise business plan? 

A business plan is a roadmap that outlines a company’s primary business operations, objectives, and strategies for achieving those objectives. 

When starting a franchise business, it is important to have a plan. This document will outline your goals, strategies and tactics for your business. 

Moreover, this business plan serves as a guide to help you stay on track and meet your desired results.

Lastly.a few key components in your franchise business plan, and below is a brief overview of each section

Components of a franchise model business plan

  • Company Overview and Purpose of franchise
  • Mission and Vision statement
  • Company’s organizational structure
  • Industry Analysis
  • Market research and planning
  • Business Operations
  • Franchise Marketing plan
  • Structure of franchise management and support
  • Franchise Financial Plan
  • Franchise Development Plan

1. Company Overview and Purpose of franchise

The franchisor, its products and services, opportunities, risks, strategies, target market, competition, competitive advantage, and franchisor’s strengths and weakness is analyzed.

Above all,the executive summary of your business plan could be the most crucial component. 

However, Call it the ‘elevator pitch.’

franchisor business plan sample

Therefore,The executive summary should never be longer than two pages, and if it will condense to one page, that’s even better.

To sum up,I would suggest a one-page or one-slide overview of the company and industry. You can download the template on a company overview or a comprehensive franchise business plan.

2. Vision Statement

Firstly,Your company’s culture is defined by a vision and mission statement. 

Secondly,the vision and mission statement will explain the company’s primary motivations for being in business and define the boundaries of its operations.

The vision statement reflects your concept regarding the franchisor and system, customers, vendors, profitability, professionalism, community, and the workers.

In addition,it contains franchise ambitions and the regions or cities they intend to expand their franchise business .  

franchisor business plan sample

3. Company’s organizational structure

The organizational structure and hierarchy give the reader knowledge regarding the company.

Also, it contains whether and when the company was bought out by the creators.Subsequently with current funding such as stock ownership, mortgages, loans, overdrafts, and debentures. 

Write on notable achievements you’ve made as well as any challenges you’ve faced and overcome—the management of the company and their previous experiences and accomplishments. 

4. Background and analysis of the industry

The industry analysis and background part, second only to the executive summary, is the one that gets the most attention. 

Secondly,you must recognize your market, competitors, and market position for your organization to have proper guidance.

When comparing an organization and its goods & services to competitors, use infographics for clarification and analysis. 

Lastly, I recommend to use Canva ,a tool to prepare images and infographics for your franchise business plan and your marketing campaign.

By answering the following questions, define the industry in which you work:

  • How big is the business? The reader will be interested in knowing the industry’s size or expansion.
  • Do a few large enterprises dominate the market, or is it divided among many smaller shops?
  • Who are your primary competitors, leading companies, franchisors, and suppliers in the industry?
  • Is there a big range of possible clients in the industry, or do a few people responsible for a substantial percentage of income?
  • What variables are critical to your industry’s success?
  • What laws, environmental developments, and commercial developments will have an impact on your sector?
  • Based on published projections, what do the industry’s rapid expansion and profile look like?

5. Market research and planning

You discuss your customer profile, market volume, industry developments, present and future competition, and the kind of location you require. It demonstrates to the potential franchisee that you are familiar with the industry you will be working in.

Market research should include

  • Market size and Market share of the franchisor or its micro industry.
  • Type of Market
  • Market Share Analysis
  • Hybrid market
  • Current Business Formats of these markets
  • Demand and Supply-side drivers contribute to the growth of the market segment.
  • Franchise Readiness and Feasibility analysis
  • Ideal Franchisee Profile
  • Franchise Financial Facts 
  • Franchising Models selected among COCO, FOCO, COFO or FOFO models
  • Different Expansion formats
  • Unit Franchise format
  • Master and Sub franchise format
  • Area Franchise format
  • Multi-unit Franchise format
  • Type of business model suitable
  • Business Format Franchising or Product-based franchising

6. Business operations

In any business, employees are the most valuable asset. Firstly,you detail your staffing plans for hiring and paying employees and the training programmes you or the franchisee will give in this area.

Additionally, addresses having the necessary products and materials to sell to the wider populace and run the business. The Operations plan includes concerns with your vendors, such as how they will deliver to you and how you will sell to them.

Also, enlighten yourself on your well-written franchise operational manual , which contains standards for franchisees to follow when operating your franchise. 

7. Franchise Marketing plan

franchisor business plan sample

Every investor, lender, bank and member of management wants to know how you plan to bring in new clients for your franchise. You define the entire franchise system’s marketing strategy, along with any neighbourhood and localized marketing tactics, in this area. 

Brand recognition, brand building initiatives , and franchise growth marketing strategy should focus on the market strategy. 

Make it clear to the reader how you plan to launch your business. Finally, you’ll take care of the pricing specifics. 

8. Structure of franchise management and support

Summarize the day-to-day administration necessary to drive the organization, and provide background details about your supervisors if you know who they are. Specify the volume and sort of employees you’ll need to hire, as well as your wage and benefit plans as well as your staff retention strategies.

Prepare your franchise support documents like :

  • Escalation Matrix
  • Franchise startup checklist
  • A Franchise Suggestion format
  • The Franchise non-disclosure/non compete agreement
  • Vendor checklist and purchase formats 
  • Brand kit: Brand logos and brand graphics. Use definition and process.

To sum up, describe the position and responsibilities of your franchise manager , who will be in charge of selling your franchise and providing daily support to franchisees to ensure that business operations operate smoothly. 

9. Financial planning for franchise business 

Firstly, How much money will you need to get your business off the ground?

Secondly, Is it possible that the business will require additional funds in the future?

Franchise Business plan

Give a five-year profit and loss forecast as well as a cash flow analysis. Examine the number of sales needed to break even and create a profit in detail.

Franchise Financial plan includes the fees projected profit and loss statement for franchisees. The franchisor shares this franchise document with the franchisee before signing the franchise. The franchisee will examine and cross-check the financial terms and conditions with the franchise disclosure document.

10. Franchise Development Plan 

To start with,you must include a full description of the “hows” in the business plan in addition to the “whats” of day-to-day operations. 

Secondly,What modifications do you expect to make to meet the plan if your company is already up and running?

To summarize,How much will such changes cost, and when do you plan to repay those costs? Figure out how much money you’ll need when you open and how long it will take to break even and make a profit if you’re beginning a business.

The franchisor must have a franchise sales plan that aligns with their franchise expansion and location strategy and schedules. 

11. Appendix

The appendix is where you can give the reader printouts of your tax records, business and industry publications, information about the community you’ll be servicing, and any other material that will assist them to comprehend the firm.

Writing a business plan may seem daunting, but it is essential to expand your business.

In short,you should enjoy the task of writing your business plan, and if not, you may lack the discipline required to run your own company.

Franchise business plan example

Starting a franchise can be a great way to own your own business with less risk than starting from scratch. It can also be a lucrative way to own a business, with some franchises earning over a million dollars in revenue annually.

However, there are a few key things to consider when starting a franchise. First, you will need to create a detailed business plan.

This plan should include an overview of the franchise, its target market, and how you plan to compete in that market. Likewise, you also include a section on financials, including your estimated startup costs and your projected income and expenses.

You can download our , franchise business plan template from our downloads page on the website.

franchisor business plan sample

Franchise proposal sample doc

A franchise proposal is a document,which is to request the approval of a franchising opportunity from the head office or board of directors. 

The proposal should be well-written and organized to make it easy for the head office to understand. 

Most importantly,be concise and provide all the necessary information to make an informed decision.

The following is a sample franchise proposal is pitch deck to potential franchisee.

franchisor business plan sample

Conclusion: Get You Franchise business Plan example

You should have a solid business strategy in place if you want to expand your company effectively. Instead of paying for advisory services, you can construct your business plan with the help of the following points.

Expand your business now with the help of Franchise Deck and profit from developing a franchise business plan. 

Give us a chance to sail with you on your franchising journey. The first milestone of the franchise business model is the franchise business plan. 

The franchise business plan comprises a franchise expansion strategy to decide why, how, when and where to franchise your business.

The franchise model business plan template and customized franchise plan include the franchise strategic plan, franchise proposal sample doc is part of franchise marketing kit.

Do you have any more innovative business plans? Share your plans with us to assist you in improving them, and give us your feedback on the same.

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A highly successful franchisor is dedicated to its brand. Running a franchise requires a strong drive and motivation for success. Hence a franchise business plan can help an entrepreneur achieve his/her goals in the right way.

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A standard business plan usually consists of-an govt summary, an overview of your services, thorough market and business research, a marketing and sales technique, operational particulars, financial projections, and an appendix.

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ranchise business plans are essential for long-term success in the franchise industry. A comprehensive plan should include research into the target market, potential competitors, and the costs associated with the business. A business plan should also outline the legal requirements for setting up a franchise in the chosen market. A well-crafted franchise business plan should include detailed information about the franchise’s products and services, as well as the marketing strategy. It is important to include financial projections for the franchise business in the plan, including estimated startup costs and expected revenues.

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A franchise business plan should also provide information on the franchisee’s responsibilities and the franchisor’s expectations. A key component of the business plan is a competitive analysis, which will enable the franchise to assess its competitive position in the market. It is also important to include a risk management plan in the franchise business plan to identify and mitigate potential risks to the business. A detailed operational plan should be included in the franchise business plan, which should outline the day-to-day operations of the franchise. The franchise business plan should include a clear vision and mission statement to guide the franchisee’s decisions.

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A franchise business plan should also include a section on customer service, outlining the standards and policies that will be in place. A franchise business plan should also include a section on employee training and development, as well as procedures for hiring and managing employees. The franchise business plan should include strategies for managing inventory and controlling costs. The franchise business plan should also include a section on financial management, including budgeting and forecasting. Finally, the franchise business plan should include a section on exit strategies, outlining how the franchise will be exited and the possible outcomes.

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How will your online business run day-to-day? The operations part describes the required requirements for your small business to run easily.

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this is franchise business plan,

incase you need help with online business plan,email me a t [email protected]

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BusinessPlanTemplate.com - The World's Leading Business Plan Template Directory

Franchise Business Plan Template [Updated 2024]

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Business Plan for Franchises

Franchise businesses are great in that they have much higher success rates than starting a business from scratch.

If you want to start a franchise or expand your current one, you need a business plan.

The following business plan template gives you the key elements to include in a winning plan for your franchise business. It can be used to create a franchise restaurant business plan, a store franchise business plan, a startup business franchise or any other type of franchise business plan. In addition to this template, all franchise business plans should also include market research to help support the business opportunity and help craft your marketing plan and financial projections.

You can download the franchise business plan template (including a full, customizable financial model) to your computer here.

Below are links to each of the key sections of a business plan to help you with how to create a franchise business plan: I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan Click below to see each section of our free franchise business plan template. You can also click here to get our franchise business plan sample pdf .

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Franchise Business Plan Outline

franchise business plan template

Franchise Market Philippines

How to make a franchise business plan?

How to make a franchise business plan

If you decided that franchising is the right investment for you, finally, it is the moment of truth. It is nice to have a business in mind and start the venture right away, but before anything else, evaluate first your financial capability in terms of capital investment and miscellaneous expenses.

Therefore, the next thing you need to focus on after the big decision is financing or securing the funds required to materialize the franchise.

Where to get funds?

Unless you have enough money saved to cover initial costs, an alternate option is to seek the help of a lender so you can get enough starting capital. It does not necessarily mean that the whole amount must come from a loan; all you need to fulfill first is the remaining amount.

Consider the difference between the amount of money you currently have to invest and the amount of money needed to open and maintain the business until you reach the breakeven or the point when the business is already making a profit.

The breakeven point is not apparent until you have reached a specific time frame where your profit is already measurable. To set your expectations, this may take a year or more, depending on the franchise.

The Role of Business Plan

When taking a loan, you need to convince lenders why should they let you borrow a capital. This is exactly why you need a business plan. This plan helps lenders in assessing the borrower and the business if it is profitable in the future or not.

There is a higher chance of loan approval if you have a clear business concept and a course of payment that presents a win-win situation between both parties.

Set a meeting with the lender and present the plan. Do thorough research about the business to back up claims for the desired result.

Business Plan Is Not Just For Money

Yes, the plan is not intended only to get the funding. Instead, it forces you to take the investment seriously and to anticipate the challenges that may happen during the business opening. In other words, it sets your expectations right.

Moreover, as you leverage in franchise ownership, your business plan should always be used as a guide in helping you reach the set franchise goals from the beginning.

The business plan is the first step in the franchising journey but you must not rely solely on this alone. Still, hard work and perseverance determine your commitment to running the business with all your heart and focus.

The Business Plan

The golden rule: A business plan does not need to be complicated.

You do not need to follow a format or make another version of your undergraduate thesis for this. All you need is a plan that is understandable and has covered most aspects of the franchise.

Give the lender the impression that you are ready and capable enough to manage a business and make it profitable in a certain amount of time.

Common Parts of a Business Plan 

Here are the following parts of a business plan.

Company description

This is usually on the first item of the plan. It provides a franchise overview for reference to the lender. It is nice if you will provide a brief outline of the service or product.

Service or product description

This part gives the overall details of the service or product provided to customers. You must elaborate well on this part so you won’t confuse the lender with the nature of the business.

Market analysis

This section is intended to prove your potential lender that your decision is not an impulse to enter the franchise industry. Be more specific in the market where the business will be located. You can also use the territory description to make a point.

Specifically, discuss and elaborate on the following:

  • How big is your market?
  • What are the demographics of the market?
  • Is the market a good target concerning the service or product?
  • Who are your competitors, and what is your competitive advantage?
  • Discuss the experts’ forecasts about the service or product? Specifically, in trends of the specific market.

Management structure

This section should provide information about the responsible people in the company. Moreover, this section must lay your plan for the day-to-day operation of the franchise. What type of ownership are you planning to have?

Also, explain your involvement in daily business operations. It is important to note if you will be acting as an absentee owner. Give all the business qualifications and state all your experiences that are relevant to being a successful business owner.

Marketing plan

This section provides an overview of the franchisor’s advertising and marketing efforts. Also, this includes all relevant training to undergo before starting the business, including marketing and sales courses.

It is the core of the business plan. Do not only ask for money. Paint a picture of your situation to the lender. State how are you going to fulfill the initial investment. It is important that you tell this part because lenders will not be financing all of the franchise investment. You must state if you are also using savings or just pure loans.

Also, make a financial projection. Give a reasonable time frame to pay your loan based on the amount borrowed that may or not include the start-up costs, projected profit and loss, and projected sales forecast.

If you have difficulty doing this part, ask help from your franchisor. Yet, do not overdo your estimates and projections to prevent any unexpected problems.

This is not really necessary but could still help enhance the information on your presentation. Attach items that you deem necessary to giving the lender a complete idea of you and the franchise that needs the funds.

As previously mentioned, the best outside source of information to complete your business plan is the franchisor. No other outlet is going to know the franchise system better than the owner.

You can also use additional resources such as online sites and websites that offer site visitors a substantial library of sample plans to review. If ever, any prospective franchisees can also hire a professional business plan writer to do the job.

Tips For a Business Plan

Here are some useful tips you can use when making the business plan.

  • Compile the proper information to address the reservation of the lender you will meet with. It is at this point that a franchised business offers an advantage over an independent business.
  • Make sure that the franchise disclosure document (FDD) from the franchisor contains the necessary information needed to complete a business plan.
  • Always include the company’s background, a description of the target market, the competitive advantage of the product or service, the planned marketing initiatives, and the start-up plus ongoing costs.
  • Be mindful of the pitfalls. Although it is alright to disclose some possible obstacles along the way, you can always opt to minimize its presence in the plan. Use a more positive way of positioning this idea as this can impact the plan.
  • Grammar is life-saver. Make sure that your work is error-free and grammatically correct before passing it to the possible lender. A concise and well-done work gives a more professional impression towards you.

In the end, a business plan is a great tool not just for educating you but in securing the fund you need for the business. 

It compiles all the necessary details about your ideal franchise business, the market advantage and competitive edge over other brands, the thorough market analysis plus strategies employed in the daily operations, and lastly, the managerial roles of the franchisee through the help of the franchisor.

As mentioned above, this plan does not need to be grand and complicated. The simpler the better. Having a brief but well-detailed franchise plan gives you an edge in earning the lender’s loan approval. That must be your main goal when making this plan.

There is no doubt that starting a business is not easy. Unless you have are financially stable to support the investment, it is impossible to realize a business without the help of other financial institutions.

Save as much as you can, but if what you have is not enough, do not hesitate to take the risk. It is part of your franchising journey. It is the exact same reason why you must make the business grow in the long run. After all, your profit dictates how well the business is thriving in the economy.

Are you all set in making your first business plan? If yes, then cheers! Congratulations on making the best decision of your life. Educate yourself as well with the common questions you must ask a franchisor to fuel your franchising journey.

Franchising is a wonderful venture with Franchise Market. Discover new services that will make you grow your investment the right way. Post a franchise or browse our franchise listing without extra cost!

Let us make your franchising journey a success, one step at a time.

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The franchise industry is booming, and entrepreneurs are wondering about how this sector works. This ebook aims to help aspiring franchisees achieve their business goals.

Disclaimer: Franchise Market Philippines strives to provide relevant and accurate information in all its articles. However, some information in our articles may differ or might be outdated from what you can see or read directly from the establishments' or businesses’ websites. Please get in touch with us directly for any discrepancies.

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Become a franchisee using a tailored OGScapital business plan

OGS business plan for franchising clearly demonstrate your ability as an applicant to run a franchise successfully. The business plans for franchise will comply with all franchisor requirements. Our success rate is 95%.

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OGScapital will support you by writing a business plan for a franchise that will properly present your skills, competence, and background. We will help you highlight why your proposed business location is ideal and help you develop and highlight the strategies that will ensure the franchise will be a success.

Strategic advice

Our consultants have wide-ranging experience providing strategic planning services for the leading franchising networks. This means our professional business plan for franchising can guide you towards best practices, showing you how to build a successful franchising business.

The assigned project team has prepared franchising business plan for more than 500 franchisees from a wide range of industries (restaurant/café, retail, wellness, etc.) worldwide. OGScapital brings experience to the table that will help you add industry-specific and winning strategies to your franchising business plan.

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You will need to present a professional and complete franchise business plan to the franchisor. Our team will create a user-friendly and eye-catching document, complete with full-color graphs and tables, that will make a compelling case for your franchise.

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OGS Franchise Business Plan will help you get the franchisor’s approval and then build a successful franchise.

Franchise Business Planning:

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Size:   30-40 pages

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Document contents:

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Differentiate  yourself from competing franchises

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A business plan for franchising should include an executive summary, a company description, a franchise opportunity, a market analysis, a marketing plan, an operational plan, a financial plan, and appendices. The goals, plans, and forecasts of the franchisee’s company should be emphasized in each section.

How will OGSCapital assist me if the franchisor rejects my application?

If the franchisor declines your application, you can rely on our team of experts at OGSCapital to back you up. We have a history of successful franchise business plans. In the unlikely event of a rejection, we will work with you to fix the problem at no additional charge. We prioritize your satisfaction and success.

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The quality of the business plan was worth every penny and more. Alex and his team were meticulous and best of all honored the time frame. I would certainly work with OGS for future projects! We count ourselves lucky to have found their company. Thank you Alex and I look forward to working with your team again.

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Professional Franchise Business Planning Services

Franchising, without a doubt, is one of the growing industries that have a proven track record. An experienced business owner knows how to look for excellent business ideas in different Franchise opportunities.

However, many amateur entrepreneurs who are interested in Franchising do not know that it needs to have a comprehensive  set up business plans for franchise  before it opens the doors for its consumers. In short, to become a franchise owner, you not only need the right financing, but also a quality  business plan for franchising .

If you are considering investing in this  franchising business plan  idea, keep on reading to find out everything you need to know about franchising.

Business Plans for Franchises

Franchising is one of the common ways of doing  franchising business plan . Franchising a business means an owner or franchisor sells the right to his/her business name, model, and logo to a third party retail outlet, which is owned by a third party operator called “franchisee.”

Essentially, franchisees pay ongoing royalties and initial fees to the franchisors. In return, the franchisees gain the use of continuing support from their franchisors, and most importantly, the right to own and use the franchise system of selling products or providing services.

One of the greatest strengths of franchising is that it brings many independent retailers and marketers together who are using the same business concept and trademark. This affiliation not only improves brand awareness but also enhances uniformity in fulfilling customer expectations and benefits pooled advertising.

However, it is essential to understand that successful franchising needs a robust  business plans for franchises . No matter how famous a particular brand is, creating a  business plans for franchise  is the only way to reduce the ever-present challenges and failure risks. Whether you are interested in opening an American shoe outlet or introducing a brand of Italian cosmetics, you cannot deny the importance of a business plan for a  franchising business plan .

Put simply, franchising business plans can help entrepreneurs get external capital for expenses that may include start-up expenditures, tenant improvements, and franchise fees. Most importantly, an entrepreneur needs a franchise business planning for the same reason a lender or investor requires one: he/she needs to have a roadmap that can take the  franchising business plan  on a profitable and sustainable path.

Setting up a Franchise Business – What You Need to Know

Opening a franchise is undeniably a palatable expansion for businesses and companies. And setting up business plans  for franchise  before proceeding with a chain of any product can bring numerous investment opportunities for potential franchisees.

Remember that  setting up a franchise business plan  can significantly increase the chances of growth and lifespan of the brand. Precisely, there are five types of franchises you can choose from.

  • Product franchise
  • Investment franchise
  • Conversion franchise,
  • Format franchise
  • Job franchise

Whether it is a franchise restaurant or clothing brand, it needs due diligence and proper time to walk through the opening process.

Take a look at the following steps to understand how to make a franchise business planning, and what goes in the process of starting a  franchising business plan  under a franchise agreement.

Research Your Choices

The first step in starting a  business plans for franchise  is researching. You need to find out the businesses that can sustain in your area. It is better to use statistics, and any useful data that state government provides.

Before  setting up a franchise business plan ning, you need to match the business environment with your situation to choose a franchise system that will suit you. Seeking help from a franchise consultant is a great idea to receive guidance through the process.

Request a Franchise Application

Once you narrow down a few contenders, you need to request a franchise application from them. If that franchise finds you a good match, you will receive a franchise disclosure document (FDD). The document will help you take a more in-depth look into the franchise’s business system.

Attend “Discovery day.”

A discovery day refers to the in-depth meeting between the potential franchisees and franchisors. The franchisees see presentations about the support the franchisor can offer. It is precisely a question-answer session that may include an introduction to training personnel and a tour to different departments.

Find a Location

Know that your franchisors delineate some parameters for the chosen location in the franchise agreement and FDD. They also assist franchisors with site selection.

Choose Secure Funding

This stage comes when you have made your mind about investing in a certain franchise system, you need all the necessary information to  setting up a business plans for franchise  for the potential lenders. You can consider several options like HELOC (home equity line of credit), SBA, and bank loans.

Sign an Agreement

It is vital to go through your franchise agreement. It is better to keep it flexible and negotiable. You can seek counseling from a lawyer to find a solution to your particular situation.

OGS Capital Consultants – Your Business Plan Writer

Are you looking for a business plan for buying a franchise? OGS capital, in this regard, is the right choice to develop a plan that demonstrates your abilities to own a franchise. Our professional  business plan for franchising  writers include everything from your talent, requisite skill, background, resources, and experience to run a franchise successfully.

With the best franchise business planning from our professionals, you can attract potential lenders and financers. Our  business plans for franchise  is a master plan, which explains your franchise’s strategy in detail and its operational capacity to produce revenues in a different location.

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Franchisor Business Plan – Sample Text

Download the Franchisor Business Plan Sample Document in PDF Format.

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BUSINESS PLAN TEMPLATE

(FRANCHISE)

This is a sample outline for a business plan to be used by a start-up operation to request funding.

It is also possible, to use the template for existing businesses and those not pursuing funding.

Feel free to add, subtract, and rearrange as is appropriate to your business and writing style.

(If you do delete sections, make sure that the information involved either does not apply to your business or is addressed sufficiently in other sections of the plan.)

I. EXECUTIVE SUMMARY

Complete this section at the end.

Use this section to summarize the major points to be addressed in the rest or the plan. You can follow the outline for the rest of the plan for the format of your executive summary. If you do, summarize each subsection with a bullet-point sentence or two.

II. CAPITAL PLAN

A. Sources of Funds

How much money will you need? From what sources? Under what terms?

B. Uses of Funds

How will you use the money? Begin with a table that outlines the major use of funds categories (such as building purchase, build-out, equipment, franchise fees, working capital reserves, etc.) and amounts required, then follow it up with a paragraph or two describing each use of funds category in greater detail. If possible, explain how the expenditure will help you become more profitable. (For example, if you are buying inventory, explain how much revenue that inventory can support. If purchasing real estate, calculate the estimated rent expense saved over the life to the loan.)Franchisor Business Plan Example ONLY

How will you use the money? Begin with a table that outlines the major use of funds categories (such as building purchase, build-out, equipment, franchise fees, working capital reserves, etc.) and amounts required, then follow it up with a paragraph or two describing each use of funds category in greater detail. If possible, explain how the expenditure will help you become more profitable. (For example, if you are buying inventory, explain how much revenue that inventory can support. If purchasing real estate, calculate the estimated rent expense saved over the life to the loan.)

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Real Estate Agency Business Plan PDF Example

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  • May 7, 2024
  • Business Plan

the business plan template for a real estate agency business

Creating a comprehensive business plan is crucial for launching and running a successful real estate agency. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your real estate agency’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a real estate agency business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the real estate industry, this guide, complete with a business plan example, lays the groundwork for turning your real estate agency concept into reality. Let’s dive in!

Our real estate agency business plan covers all essential aspects necessary for a comprehensive strategy. It details operations, marketing strategy , market environment, competitors, management team, and financial forecasts.

  • Executive Summary : Provides an overview of the real estate agency’s business concept, market analysis , management, and financial strategy.
  • Real Estate Brokerage Services & Fees: Describes the brokerage services including property sales and acquisitions, along with a fee structure.
  • Property Management Services & Fees: Outlines property management services offered and their respective fees.
  • Key Stats : Offers data on industry size , growth trends, and market positioning.
  • Key Trends: Highlights significant trends impacting the industry, such as digital transformation and changing buyer preferences.
  • Key Competitors : Analyzes primary competitors and differentiates the agency from these competitors.
  • SWOT : Analyzes strengths, weaknesses, opportunities, and threats.
  • Marketing Plan : Outlines tactics for attracting new clients and maintaining relationships.
  • Timeline : Sets out key milestones from inception through the first year of operations.
  • Management: Information on the management team and their roles within the agency.
  • Financial Plan: Projects the agency’s financial performance over the next five years, detailing revenue, profits, and anticipated expenses.

the business plan template for a real estate agency business

Real Estate Agency Business Plan

franchisor business plan sample

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your real estate agency’s business plan, offering a concise overview of your agency and its services. This section outlines your market positioning, the variety of real estate services offered—including property sales, rentals, and property management—its location, size, and a description of day-to-day operations.

This section should also discuss how your real estate agency will integrate into the local market, including the number of direct competitors within the area, identifying who they are, along with your agency’s unique selling points that differentiate it from these competitors.

Additionally, you should include information about the management and co-founding team, detailing their roles and contributions to the agency’s success. Furthermore, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to provide a clear picture of your agency’s financial plan.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Real Estate Agency Business Plan exec summary1

Dive deeper into Executive Summary

Business Overview

For a Real Estate Agency, the Business Overview section can be concisely divided into 2 main slides:

Real Estate Brokerage Services & Fees

Briefly describe the agency’s professional and welcoming office environment and its conveniently located premises near major residential and commercial areas, which enhances accessibility and client traffic. Detail the range of real estate brokerage services including buying, selling, and leasing properties, and discuss the agency’s fee structure, which is typically based on a percentage of the property sale or lease price, reflecting the high quality of service and market alignment.

Property Management Services & Fees

Describe the comprehensive property management services offered that cover tenant screening, rent collection, maintenance, and financial reporting. The pricing for these services is usually based on a percentage of monthly rental income or a flat monthly fee, with potential additional charges for special services like emergency maintenance or tenant placement, ensuring landlords a hassle-free ownership experience.

Make sure to cover here _ Real Estate Brokerage Services & Fees _ Property Management Services & Fees

franchisor business plan sample

Market Overview

Industry size & growth.

In the Market Overview of your real estate agency business plan, start by examining the size of the real estate industry and its growth potential. This analysis is crucial for understanding the market’s scope and identifying expansion opportunities.

Key Market Trends

Proceed to discuss recent market trends , such as the increasing consumer interest in sustainable and eco-friendly properties, the growing demand for smart homes equipped with the latest technology, and the rising popularity of urban living spaces among millennials and young professionals. For example, highlight the demand for properties that cater to specific lifestyle needs, alongside the rising preference for locations with comprehensive amenities and green spaces.

Key Competitors

Then, consider the competitive landscape, which includes a range of agencies from large national firms to local boutiques, as well as online real estate platforms. For example, emphasize what makes your agency distinctive, whether it’s through exceptional customer service, a unique range of property management services, or specialization in certain types of properties such as luxury homes or commercial real estate. This section will help articulate the demand for real estate services, the competitive environment, and how your agency is positioned to thrive within this dynamic market.

Make sure to cover here _ Industry size & growth _ Key competitors _ Key market trends

Real Estate Agency Business Plan market overview

Dive deeper into Key competitors

First, conduct a SWOT analysis for the real estate agency , highlighting Strengths (such as experienced realtors and a diverse property portfolio), Weaknesses (including high agent turnover or reliance on local market conditions), Opportunities (for example, the growing demand for rental properties or the potential for tapping into luxury real estate markets), and Threats (such as fluctuations in real estate prices or new housing regulations that may impact operations).

Marketing Plan

Next, develop a marketing strategy that outlines how to attract and retain clients through targeted advertising, promotional events like open houses, an engaging online presence, and community involvement. This strategy should also incorporate using social media platforms to showcase properties and share customer testimonials, enhancing the agency’s visibility and client engagement.

Finally, create a detailed timeline that outlines critical milestones for the real estate agency’s launch, marketing initiatives, client acquisition, and expansion goals. This timeline should ensure that the business moves forward with clear direction and purpose, setting specific objectives for brand establishment, market penetration, and long-term growth.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Real Estate Agency Business Plan strategy

Dive deeper into SWOT

Dive deeper into Marketing Plan

The Management section focuses on the real estate agency’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the real estate agency toward its financial and operational goals.

For your real estate agency business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Real Estate Agency Business Plan management

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your real estate agency’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your real estate agency business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

Real Estate Agency Business Plan financial plan

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COMMENTS

  1. Franchise Business Plan Template [Updated 2025]

    A business plan will help you raise funding, if needed, and plan out the growth of your franchise in order to improve your chances of success. ... Franchises are usually funded through small business loans, personal savings, credit card financing and/or angel investors. FRANCHISE BUSINESS PLAN OUTLINE. ... 100 Sample Business Plans. Business ...

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    How To Write a Franchise Business Plan & Sample. ... About any type of business can be franchised. Franchises are categorized according to different factors like investment level, franchisor's strategy, business operations, and marketing and relationship models. The most common types of franchises are job franchise, product or distribution ...

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    How to write a business plan for your franchise. 1. Understand your franchise business model. Since the franchisor has already established the company's business model, your business plan should focus on how you can adapt it to be successful in your chosen location. Imagine you're planning to open a fast food restaurant, chain hotel, or ...

  4. How to Write a Business Plan for Your Franchise

    Start with comprehensive research. Before you can begin writing your franchise business plan, you need to gather information about your franchise business. Research the industry, market trends and ...

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  6. Franchise Business Plan Template (2024)

    Writing a franchise business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan: 1. Executive Summary. An executive summary is the first section of the business plan intended to provide an overview of the whole business plan. Generally, it is written after the entire ...

  7. How to Write a Franchise Business Plan

    Business management and organisational structure: this section will contain details of the leadership and management of your franchise business as well as a brief outline of what skills, knowledge and experience each person brings to the table. Financing projections/financial plan: this is possibly the hardest but most important section to prepare because it will undertake number crunching ...

  8. PDF Free Version of Growthinks Franchise Business Plan Template

    The real version of Growthink's Ultimate Franchise Business Plan Template is much more than a fill-in-the-blanks template. That template professionally guides you step-by-step so you can quickly, easily and expertly complete your business plan. Perhaps most importantly, it includes complete financial projections.

  9. Franchise Business Plan Template

    The estimated number of total franchises in 2021 was 774,965 with a total number of employees at 8,192,600, and an output of $787.7 billion. The total GDP size of the franchise economy in 2021 was $474.2 billion. The growth projections for franchises in 2022 stand at 2.2%.

  10. Franchise Business Plans

    But like any successful business, you'll need a business plan to get it up and running, as well as get approval to be a franchisee. Luckily you can easily put yours together with one of our franchise sample plans. Download one today and become part of your favorite brand's business journey. Explore our library of Franchise Business Plan ...

  11. Creating a Business Plan for Your Franchise

    Common parts of a business plan include the following, according to the Small Business Administration (a sample business plan is located at the end of this article): ... As previously mentioned, the best outside source of information to complete your business plan is the franchisor. No other outlet is going to know that franchise system better.

  12. Franchise Business Plan Example Presentation

    A franchise business plan increases the likelihood of a new franchisor and the franchise's success by twofold. Secondly, Businesses operate since they stick to a well-defined and well-executed strategy. Over 543,000 new firms start in the United States every month, yet only 7 out of 10 survive after two years, while 5 out of 10 survive after ...

  13. Franchise Business Plan Template + Example (Updated 2024)

    Business Plan for Franchises. Franchise businesses are great in that they have much higher success rates than starting a business from scratch. If you want to start a franchise or expand your current one, you need a business plan. The following business plan template gives you the key elements to include in a winning plan for your franchise ...

  14. Franchise Business Plan

    8. Testing. The franchise products or services must be carefully tested in the market with a pilot franchise and an independent franchisee for a certain period of time, usually over a minimum of twelve months to ensure that the franchise is not a failure.You may also see risk plan examples. 9. Operating Areas.

  15. Franchise Business Plan Example

    Franchise Business Plan Example. Franchise examples can come in a lot of shapes and sizes. Some come with complete turnkey solutions—sometimes including strict franchise agreements that dictate pricing, uniforms, and even employee conduct. Other franchisors take a more hands-off approach, and let the franchisee take control of how they may ...

  16. How to make a franchise business plan?

    As previously mentioned, the best outside source of information to complete your business plan is the franchisor. No other outlet is going to know the franchise system better than the owner. You can also use additional resources such as online sites and websites that offer site visitors a substantial library of sample plans to review.

  17. Franchise Business Plan Consultants

    OGS Franchise Business Plan will help you get the franchisor's approval and then build a successful franchise. Franchise Business Planning: Users: Franchisor and Company Management. Size: 30-40 pages. Timeframe: 12 days. Graphic design: included. Assigned team: 2 senior consultants with a project lead. Rush Delivery Service: Available.

  18. Franchisor Business Plan Sample

    If purchasing real estate, calculate the estimated rent expense saved over the life to the loan.)Franchisor Business Plan Example ONLY BUSINESS PLAN TEMPLATE (FRANCHISE) This is a sample outline for a business plan to be used by a start-up operation to request funding. It is also possible, to use the template for existing businesses and those ...

  19. Franchise Business Plan

    The purpose of the Franchise Business Plan Event is designed for participants to present a comprehensive business plan proposal to buy into an existing franchise. The participant seeks to become a franchisee. Participants. 1 to 3. Exam. ... Sample Exam. Sample Event. District Level Instructional Areas. Competition Advice. Related Resources ...

  20. Real Estate Agency Business Plan PDF Example

    Whether you're an experienced entrepreneur or new to the real estate industry, this guide, complete with a business plan example, lays the groundwork for turning your real estate agency concept into reality. Let's dive in! The Plan. Our real estate agency business plan covers all essential aspects necessary for a comprehensive strategy.

  21. Elektrostal

    Elektrostal, city, Moscow oblast (province), western Russia.It lies 36 miles (58 km) east of Moscow city. The name, meaning "electric steel," derives from the high-quality-steel industry established there soon after the October Revolution in 1917. During World War II, parts of the heavy-machine-building industry were relocated there from Ukraine, and Elektrostal is now a centre for the ...

  22. Mercatus Nova Co., Elektrostal, Moscow Oblast, Russia

    Sample Bill of Lading 181 shipment records available. Date. 2022-07-28 . Shipper Name "Mercatus Nova Company" Llc . Shipper Address. ELEKTROSTAL'SKOYE SHOSSE 1-A MOSCO NOGINSK 142410 RUSSIAN FEDERATION . Consignee Name. Global Importing Group . Consignee Address. 4201 NE 161ST AV PORTLAND OR 97230 PORTLAND US 97230 US ...

  23. Visit Elektrostal: 2024 Travel Guide for Elektrostal, Moscow Oblast

    Cities near Elektrostal. Places of interest. Pavlovskiy Posad Noginsk. Travel guide resource for your visit to Elektrostal. Discover the best of Elektrostal so you can plan your trip right.

  24. Elektrostal, Russia: All You Must Know Before You Go (2024

    A mix of the charming, modern, and tried and true. See all. Apelsin Hotel. 43. from $48/night. Apart Hotel Yantar. 2. from $28/night. Elektrostal Hotel.