Seeking Start-up Franchisor Advice - thanks!

Hey All, looking for some advice on franchising my business.

I came across a thread and one of the commenters wrote "If the franchise is working well they won’t be on UKBF asking for help."

Fair point, so here I am, flipping this on its head somewhat because I want to do this right.

Over the past two years I’ve been developing my business idea, and earlier this year I incorporated. Since then, I’ve contracted over £100k in software development and CTO consultancy work (I am not new to start-ups and running businesses, been doing so for over ten+ years). Alongside this, I’ve built a software library foundation (to streamline how frontend applications connect with backend systems) and created a systematic, well-defined set of business processes.

I don’t see many genuine software house franchises out there. Most so called “digital franchises” are either website sales outfits or glorified lead-generation models, where the franchisee sells and the franchisor delivers. To me this feels more like a commission only sales role than a true franchise.

What I think is missing is a path for skilled developers who want to strike out on their own but lack business structure, branding, systems and processes. My aim is to provide exactly that, a structured franchise model that equips technically strong people to build a sustainable business under a proven framework.

To support this, I’ve developed a bespoke Franchise Management Platform (most off the shelf ones felt too generic or rebranded CRMs). I also have the numbers and processes to back up the model and I am starting discussions with the BFA (first meeting next week) to discuss becoming a BFA Emerging member.

The approach:

Franchisees would be developing serious, enterprise grade solutions, not simple websites or mobile apps. Think robust, browser based systems that organisations depend on along the lines of ERP-style platforms, client portals, and workflow management systems that handle core business processes. These solutions are designed for industries such as healthcare, travel, finance, and insurance, where security, scalability, and reliability are essential. The framework, processes, and software library I’ve built mean franchisees can deliver these high value projects efficiently, with the backing of a proven methodology, while still tailoring solutions to individual client needs.

Within the first year, I’d expect franchisees to be in a position to win and deliver multiple projects in the £15,000–£65,000 range. Of course, there are no guarantees, success depends on their ability to generate leads, sell, and manage projects, but as I mentioned, the framework, branding, and software library are designed to support them in reaching that level of work. The model is built for serious software development, where each project represents a substantial business engagement rather than small ticket work.

Realising this is a very early proposal there would be a pilot phase first. As this would be a little more high risk and a brand new franchise proposal (as I mentioned 2 years in the making for me and approx 6 months trading), I thought that I could look for three (to start with) pilot franchisees. That way they would receive direct support from me during this pilot phase. I'd also make sure they got a significantly reduced licence fee and royalty requirement and we worked as a collective to continue to establish the franchise and their businesses. The franchise would be turnkey, the franchisee would be responsible for obtaining their own leads, contract with the client, project management and developing the system (e.g. running their own franchise); while the franchisor (my business) would provide the branding, process/business/system framework, software library (to help speed their developments up and reduce their development costs) and a three day induction seminar (a deep dive into the business/sales/marketing approach) with ongoing support and a platform.

If successful, these early franchisee's would have the opportunity to step up to regional oversight roles when future cohorts are added.

Why post here?

I’d like to get a sense check from the community:

1. What do you think of this approach?

2. Does seeking three pilot franchisees upfront sound like the right strategy? (how is this normally done, how does a start up franchise sign up their first franchisee!)

3. Any thoughts or constructive criticism welcome.

Looking for thoughtful feedback.

All the best!

FYI

By way of background, I began my career with over a decade in the banking sector, working in software engineering, systems analysis, and training across global teams. Since then, I’ve founded and led several ventures spanning 3D printing, gaming software, health tech, and digital platforms. My work has ranged from developing award-winning products and customised SaaS solutions to delivering digital transformation projects and acting as a fractional CTO. Along the way, I’ve built up experience in software architecture, product development, team leadership, fundraising, and go-to-market strategy. It’s this mix of technical depth and business leadership that I’m now aiming to package into a repeatable franchise model for software development.
 
Given that you are in a very tight niche (generally a good thing BTW), I think you'd be better off researching the niche itself

Do they recognise a need for your offering?

How much are they prepared to pay / sacrifice?

Will they just wander off once things are up and running?

As an aside, franchise agents are - to put it kindly - a mixed bag. Some straight and forthright, others convicted fraudsters. The general advice here is to trust the ones who challenge and manage your expectations, not the ones who make big promises
 
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Given that you are in a very tight niche (generally a good thing BTW), I think you'd be better off researching the niche itself

Do they recognise a need for your offering?

How much are they prepared to pay / sacrifice?

Will they just wander off once things are up and running?

As an aside, franchise agents are - to put it kindly - a mixed bag. Some straight and forthright, others convicted fraudsters. The general advice here is to trust the ones who challenge and manage your expectations, not the ones who make big promises
Thanks Mark, appreciate your feedback.

I have run the business for over half a year and sold several projects and obtained a CTO consultancy. The industry (digital transformation) is well established and there is an ongoing need - but of course, as you rightly pointed out, how much are they (the client) prepared to pay for the service, is the right question to ask.

To put some context to it, I followed my own system processes (those processes that I would expect my potential franchisees to follow) and sold projects with £15,000, £25,000 and £55,000 with on going CTO consultancy worth £10,000 (these are approx figures, the three projects mentioned here were over 4 months, the consultancy a few hours a week over the year).

Is there a need for software and more importantly a need to digitally transform businesses? Yes, having had a 30+ years in the industry I can certainly say there is, and it will be on going (all be it incorporating the AI approach to development is a must too).

The question of "Will they just wander off once things are up and running?" Interesting! The franchise terms and condition I will set up will have an obligation to support the clients on an on going basis. Should they not be able to support the client through whatever reason, then hopefully by them following the system approach and processes required of them, the client could be adopted by other franchise members - that's the thought anyhow.

I am not saying I have all the answers here, just my take.

And again as you noted... it's all about setting expectations and fulfilling the obligation both from my perspective (the franchisor), the franchisee (of my business model) and the client that requires the service.

Thanks again Mark, appreciate the questions! Thought provoking.
 
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