How to Go from 9 to 5 to Franchise Owner

Are you interested in learning how you can go from being a 9 to 5 employee to a franchise owner?

At Jack in the Box, we’ve seen many former corporate employees realize their dreams of multi-unit franchise ownership with our brand.

In this article, we will take a look at how most people go from a 9 to 5 office job to a franchise owner.

Do Your Research

There are a wide range of franchise opportunities available, so it’s important to do your research and find the best fit for your interests, skills, and budget.

Here are some resources that will help you get to know the franchising industry while you begin your journey to multi-unit ownership:

• 20 Most Common Franchising Terms You Need to Know
• Do I Have to Pay a Franchise Fee Every Year?
• 7 Most Popular Reasons to Buy a Franchise
• Can I Open a Franchise with Business Partners?

Some other questions and items to consider while you’re doing your research include:

• What are you passionate about? Consider your interests and skills to help you find a franchise that leverages the things you’re good at.
• How thorough is the training and support offered by the franchisor? Being able to rely on the franchisor’s training and support programs will set you up for success.
• Can I see your most recent Franchise Disclosure Document? The franchise disclosure document (FDD) is a legal document that must be given to individuals who are interested in buying a franchise in the United States. It’s filled with information on initial fees & royalties, financial performance, and other useful topics. Contact us to receive our latest FDD.

Keep in mind, owning a franchise is a full-time commitment where you’ll be fully responsible for every aspect of the day-to-day operations.

Here are ten pros and cons you should be aware of before you purchase a franchise.

Pros of Franchise Ownership:

• Proven Business Model: When you purchase a franchise, you’re given access to a proven business model that has stood the test of time in the real-world marketplace.
• Brand Recognition: When you buy a franchise, you’re tapping into a built-in customer base with instant brand recognition from the moment your doors open.
• Support & Training: When you franchise with a legacy brand, you’ll receive in-depth training and support before and after your store opens.
• Marketing Support: Franchisors can pool our marketing efforts to provide national and local campaigns to drive customers to your locations.
• Real Estate & Construction: Our team of real estate professionals at Jack in the Box will help you review potential trade areas and sites.
• Access to Resources: Franchisees can take advantage of the massive purchasing power and economies of scale from their franchisor.
• Multi-Unit Expansion Opportunities: Once you’ve experienced the success of owning one or two franchise locations, expanding your business is quick and easy with franchising.

Cons of Franchise Ownership:

• High Level of Investment: The initial investment and start-up costs for a franchisee can be high depending on the brand you’re interested in.
• Limited Creative Control: Franchisees are required to follow the guidelines and standards put in place by the franchisor. These rules protect the image of the brand and create synergy between each location.
• Franchise Agreement Termination: Franchising is a lot like having a driver’s license. It comes with many advantages. However, your license can be taken away if you don’t follow the rules.

Click here to read more about the pros and cons of owning a franchise.

Once you’ve done your research, take your time to make sure you’re selecting a franchise brand you believe in and will be excited about operating.

Consider Financial Requirements

You’ll notice most franchises require a significant upfront investment. This means you’ll need to secure financing to cover your franchise fees, startup costs, and working capital.

Due to the cost of opening a restaurant with Jack in the Box, we have three minimum financial requirements all our potential franchisees must meet.

• Minimum Liquidity: $500,000
• Minimum Net Worth: $1.5MM
• Franchise Fee: $50k per Location

If you’re unable to meet these requirements, there are many potential sources of liquidity that may be overlooked. For example:

• Stocks & Bonds
• Home Equity
• 401k Rollovers
• Business Partners

These are just a few of the options you may like to consider in order to meet our financial requirements.

Contact Your Franchisor

Now, that funding has been secured and you’ve found the perfect brand to work with – it’s time to reach out to your franchisor and begin the process.

Here is a layout of the steps to ownership we have at Jack in the Box to give you a better understanding of what you can expect:

• Submit Contact Form: To get started, submit a contact form on our website. Then one of our Franchise Development Directors will be in-touch with more information.
• Connect with our Team: We'll schedule an introduction call to answer questions and walk you through everything you need to know as you begin your journey.
• Submit Required Documents: After our conversation, we'll send you our required documents to move forward in the process: our Non-Disclosure Agreement (NDA), Initial Inquiry Form, and Franchise Disclosure Document (FDD). These documents will give us more insight into your franchising goals and determine next steps.
• FDD & Market Point Review: After we receive your Initial Inquiry Form and signed NDA, we'll schedule a Franchise Disclosure Document (FDD) review call and you'll be able to ask our team questions about this document. We'll also review market points in your desired territory.
• Financial Review: During this stage, you'll submit requisite documents to allow us to complete a full financial review along with credit and background checks.
• Meet Operations Leadership: After gathering all required documents, we will schedule a time for you to meet with the Jack in the Box Senior Operations Team.
• Finalize Development Agreement: We will finalize your franchise development territory and opening schedule. At that time, we will send franchise agreements for you to sign.
• Franchise Awarded: After receiving your franchise development agreement and initial franchise fees, you will be an official Jack in the Box Franchisee. Congratulations!
• Orientation & Training: Your orientation will start with your regional real estate development manager (REDM). They will assist you with navigating the real estate and site selection process. Once you have your site, you will be assigned a regionally based construction manager. They will provide you with CAD drawings of our prototype layout. Prior to opening, your organization will designate two people to complete our 10-to-14 week training program at a certified training restaurant.

If you’re wondering how long this process typically takes, we’ve found it ranges from 60 to 120 days to become a franchisee with Jack in the Box.

Check Out These Additional Resources

We hope this article gave you a better understanding how to go from a 9 to 5 to franchise owner.

At Jack in the Box, we work with our franchisees every step of the way to make the onboarding process as seamless as possible.

Here are some additional online resources you may like to check out:

• How Does Jack in the Box Train Franchisees?
• 5 Reasons to Buy a Fast-Food Franchise
• What Do I Get for My Franchise Fee & Royalties?

If you have any questions, please contact our franchise sales and support team.