Starting and running your own security company can be hard. You may not get an influx of clients immediately, and you have to rely on word of mouth and great advertising to market your company. Then, when you do not hit your targets, you might feel tempted to put your security company up for sale.
On the other hand, maybe you have experienced great success, and you’re ready to cash out.
However, selling in either case is not always the best solution.
Instead, you should look into converting your valuable assets into a franchise location through franchise conversion.
What is a franchise conversion?
Franchise conversion is the changing of an operating business (and its name) to that of a franchise. If you have a security company for sale, you can change your operational system and business name to the franchise one, and adjust everything to be in accordance to its regulations. All franchise conversions have benefits for the original owner and the franchise, but not without consequence.
Evaluating Franchise Conversion
An existing business with their security company for sale may have systems in place that can be easily incorporated into franchise systems, which makes them ideal candidates for conversion. However, before joining a franchise, the main question you should ask yourself is this: “Will I be happy giving up complete independence?”
It is important to view the pros and cons before you decide on franchising or selling your security company.
Pros of Converting
As a successful security company owner, it is important to know what you stand to gain as a converter. One of the biggest advantages of affiliating with a bigger brand is gaining their expertise in marketing to help your business grow. A larger corporation also means a higher purchasing and bargaining power. A franchisor also has the advantage of having higher unit counts, which ultimately generates more income for each franchisee.
Cons of Converting
The main issue that anyone can have with joining a franchise is the upfront buy-in fee. However, you may find that the buy-in fee will be reduced if you join a franchise through conversion.
Other cons of being the converter include having to cater to ongoing fees. These expenses can start to add up, especially if you are joining a franchise to minimize costs. Also, having to adhere to a new system can be difficult, especially if you are used to following your own rules. A franchisor might have regulations that do not coincide well with your system, which can cause further issue.
All in all, before you put your security company up for sale, you should explore all of your options. If you are ready to join a franchise, make sure you look for a system that will work to expand your business and generate more income for you.