Some of the best "franchise-able" businesses I have come across have been businesses with relatively low turnovers but high profit margins.
Some businesses I am approached by have been turning over large sums of money.
However, when we stop to have a look at some of these businesses in detail we find that their processes are extremely complex with a high level of skill/training and expertise needed.
This immediately reduces their "franchise-ability" potential.
It is often the case that some smaller turnover businesses have simple business systems that require no previous expertise, and where initial franchise training can provide the skill base needed to run the business.
Providing that the franchisee fee, royalty and any other charges reflect the turnover level, and that when a franchising feasibility study is completed there is a viable value proposition for franchisees, a business does certainly not need to be "large" to be franchised.
All rights reserved. No part of this publication may be reproduced or transmitted by any means, electronic, photocopying or otherwise without prior permission of the author as permitted under the copyright act.