The reasons for their slow growth are varied but typically include:A lack of adequate working capital Limited franchise industry knowledge Weak franchisor staff Franchise program is flawed Franchisees are not meeting their financial goals Poor franchise development strategyUnit Franchise vs Multi-unit Franchisee GrowthSome franchises make the mistake of launching their franchise by requiring franchisees to immediately open multiple franchise locations. Following are the most effective ways to launch a new franchise system to maximize franchise system growth:Design a marketing plan that will generate enough franchisee leads to meet new franchise goals. Have in-house franchise development staff and consider using a quality broker network to complement in-house sales. Design a franchise development strategy that will grow outward from existing company and pilot locations. This means following those practices that will maximize their franchise development resources.

Source: Forbes March 25, 2018 21:33 UTC