When you first visit the numerous online franchise directories, your screen will be flooded with logos, ads, and categories. For the most part, most franchise directories are designed to accommodate franchisors, not the prospect franchisee. The bigger and more prominent the ad, the more it cost the franchisor – the goal to reach wider demographic attention.
The common online directory design is three panels: one larger center panel and two smaller side panels. The center panel is the focus of the site because this is where the most “expensive” ads are placed and a good visual starting guide for the prospective franchise buyer. The two side panels is where you will find the searchable categories, featured opportunities, and additional resources.
Featured Listings
Featured listings (or listings with similar “high-profile” identifier such as Premium, Platinum, Gold, Spotlight etc.) are usually located on the side panels and are placed there because franchisors have paid extra for this positioning. They are not being brought to your attention because they have achieved special recognition or are of more noteworthy interest than other opportunity.
Categorical Listings
The most useful category listings are the ones that can narrow your search by specific business type (such as “coffee shops” or “home improvement”) or by investment levels. Keep in mind, though, that investment levels are determined by the turnkey cost of setting up the franchise and may not include the amount of liquid (working) capital you need to have set aside.
Top 100 Listings
Any listing with Top 100 or similar identifiers are franchise opportunities ranked by the online directory and not by an unbiased association or industry-related committee. The criteria for being placed in these “top” categories will vary, from number of franchised outlets to the franchisors years in operation.
The Information Request Form
Some directories feature an online form that you can fill in and submit online which is sent directly to a franchising representative. If you fill in this form, expect to receive a telephone call within 48 hours. Rarely does a franchisor mail out a franchising information kit after receiving your request. To avoid being called, search for the franchisor’s website for any additional information about the opportunity.
Additional Resources
Most sites have sections that offer additional information about the franchising process, links to support services such as consultants, and industry news and events. Much of this information is borrowed from other sources because the focus of these directories is to promote franchise opportunities. People starting to think about franchising may not have an initial interest in this supplementary information. For the most reliable source, you should visit established franchising organizations such as the
IFA and
FranchiseWire.
