• They require lower investments levels.
• They may offer more control over your time and schedule.
• They tend to allow for a better quality of life for some people.
• They generally are simpler to operate.
• And, they normally require no staffing.

The success of a home based franchise depends on basically the same aspects of other franchises, such as a solid franchise model and tools, a marketable product or service, excellent marketing plan and diligent execution, a positive attitude, and following the franchisor’s system. However, home based franchisees are faced with unique challenges arising from the fact that a portion of their homes is used for their businesses. These challenges include:

1. Overworking — not knowing when to close shop and working too many hours which may lead to exhaustion and family issues.
2. No working enough — not knowing when to open shop and thus not dedicating enough time to the business.
3. Lack of discipline – getting distracted with the excuse of having to take care of things around the house or just watching TV.
4. Family and friends disruptions — people may not understand or respect the demands of the business because it is at home; so neighbors and family members may stop by to chat and take away precious time that must be dedicated to the business. Many people are under the false belief that if you work at home you can do whatever you want, whenever you want to.
5. Family resentment — family members can resent the business because it interferes with their routines and habits. Kids and spouses may now not be allowed to walk into the office at will; they may be asked to lower the volume of the TV, music, or their voices when the franchisee is conducting business.
6. Isolation – franchisees may miss the face to face interaction with co-workers they used to have at their previous jobs. For some people, this lack of interaction may lead to depression.
7. Disorientation – franchisees may feel lost when the structure imposed by an office environment is not present. They may wonder from task to task feeling lost and thus not being productive.

It is crucial for home-based franchisees to understand these challenges and their consequences. As a franchisor, you need to make sure to make your franchisees aware of them and provide guidance on how to deal with them. The next post will provide some assistance on how you can help your franchisees deal with these 7 most common challenges. Keep tuned.

In your opinion what are other challenges faces by home based franchisees

Related posts:

1. Are Your Franchisees’ Families Getting In The Way Of Their Success?
2. Challenges of Selling the First Franchises
3. What Are the Challenges Faced by Start-up Franchisors?