Denise Hutton-Gosney is the MD and Founder of Razzamataz Theatre Schools. She has been a franchisor since 2007, giving her years’ of experience supporting franchisees. These are her top tips on how to prepare and what questions to ask:
- Visit the franchisor’s website and read through all prospectuses and marketing material. Check out social media and in particular, testimonials from customers and other franchisees.
- Have a list of questions prepared before you go. At Razzamataz, our Discovery Dens are very thorough and we usually cover all questions during the presentation but it is best to be prepared.
- Think about your own skills and experience and what you can bring to the role. At Razzamataz, we have a stringent vetting system to only recruit the very best to ensure the high standards of our schools.
How to invest in a franchise
Everything that you need to know about the best franchises to invest in.
What is a franchise
Walk along any UK high street, pick up any product or think of a service and chances are that they will be part of a successful franchise brand. A franchise is a business that gives the right to another person to sell goods or services using its name in exchange for a franchise fee. In return, that individual will receive training, marketing and support to become part of the network.
Different levels of investment
Every franchise has a different level of investment. Brands such as McDonald’s, Domino’s and Starbucks can cost up to £300,000 pricing it out of reach for many people. Razzamataz is a low investment franchise, costing between under £8,000 to under £10,000 although the return on investment is excellent.
How much money can I make?
Franchisees at Razzamataz report six figure turnover and 70% gross profit. Unlike many other franchise networks, the management fee is just 10%. As a long term investment, the franchise offers huge potential. One franchise school is currently on the market for sale for £200,000, having been purchased ten years ago for just under £10,000.
How to fund a franchise
Razzamataz Theatre Schools has been a successful business for more than 20 years. This means that many high street banks are willing to lend to potential franchisees because individual success has been proved time and time again. Razzamataz has easy access to funding via Barclays, offering many people the opportunity to join the network.
Barclays has a specific department to help franchisees. Whatever bank you choose to go with, make sure this is the department you speak to. Services offered at Barclays include:
- Funding for start-ups, multi-operator and re-sales.
- Loans tailored to your unique franchise requirements.
- Free banking for 12 months to help you get your franchise off the ground.
- Bespoke pricing, pre-determined lending rates and unsecured finance options.
*All subject to terms and conditions
Where to start researching your franchise
The internet and social media is a great first point of contact. After that, you need to dig a lot deeper and meet the franchisor and other franchisees. Discovery Dens are informal meetings between the franchisor and potential franchisee to learn more about each other and whether they are a good fit. Before embarking on a Discovery Den, it is advisable to do some initial research so you can get lots out of the meeting and leave with a clear understanding of whether you want to take the next steps.
What to expect from a Discovery Den at Razzamataz
Currently, all Discovery Dens are held virtually. You can meet the team from the comfort of your own home. However, this doesn’t mean the experience is any less thorough and you are encouraged to ask lots of questions and you will find out more about franchising in general, what training and support you will be given at Razzamataz and to find out if you are suitable to run your own theatre school.
What to expect
- Meet the Head Office team.
- Meet other franchisees.
- Speak to our Founder Denise.
- Learn more about franchising.
- Find out about being a theatre school owner.
- Get the inside scoop on Dragons’ Den.
- Tips for would-be entrepreneurs.
- Find out about new opportunities.
- Huge savings and discounts available for the right candidates
Why franchise when you could be an independent?
This is a question that is often asked before people truly understand what it takes to run a theatre school. Michaela Crumpton, franchisee Razzamataz Bristol North and South says: “Many people have said to me ‘why are you part of a franchise?’ ‘Why not set up independently’. These are all great questions and to an outsider it would be the obvious thing to be independent. But let me explain why I believe I’ve survived a year of turbulence and feel stronger. Being part of a franchise has been like having a whole family holding me up. Looking at many of our independent competitors, they have either vanished or been dormant for the last 12 months. I can’t recommend Razzamataz enough. Their support has been incredible and it even inspired me to take on another school during lockdown.”
Join our team
Join our multi-award winning team. We are looking for dynamic and passionate partners to own a Razzamataz Theatre Schools! Contact us on 07821 122242/ firstname.lastname@example.org and speak with us about our business opportunity to become a Razzamataz Principal today.
All training is done remotely from the comfort of your own home!
Occasionally franchise territories come up for re-sale due to a change in the franchisees’ personal circumstances or simply because they have decided to sell their asset and reap the rewards of their hard work. These re-sale schools very rarely stay on the market for long, so if you are interested, don’t delay in contacting us. Re-sale schools in:
- High Wycombe, Buckinghamshire
- Paisley, Renfrewshire
- Horsham, West Sussex
- Derby, East Midlands
If you are new to franchising, here are some of the main terms that you need to be familiar with.
- Franchise – the right given by one business to another to sell goods using its name
- Franchisee – a business that agrees to manufacture, distribute or sell branded products under the licence of a franchisor
- Franchisor – a business that gives franchisees the right to manufacture, distribute or sell its branded products in return for a fixed sum of money or royalty payment
- Operations Manual – a document that contains all of the information necessary for the franchisee to be able to operate the business.
- Exclusive Territory – a geographically defined area inside which a franchisee can operate.