At the advent of their careers, many people aspire to be entrepreneurs. To be your own boss, to make your decisions and to be assured that the profits earned from your hard work proceed to your own pocket is the stuff of many young dreams. But a few years down their career, most people give up this dream, a few give up after meeting failure and only a handful live their dream. The main cause for this is the fact that most aspiring businessmen have failed to prepare for it. Though ultimately rewarding, the journey of entrepreneurship requires a lot of preparation to ensure success. Let us have a look at a few preparatory steps that an aspiring entrepreneur can invest in.

Education: 

A lot of resources such as time, money and energy are invested in education. Though all businessmen do not have education relevant to their business, most admit that education helps to a great extent.Those who are lucky enough to have realized their calling early in life should go for relevant education and those who have passed that stage before deciding upon entrepreneurship should consider the skill set they have been equipped with by their education. Any significant gaps in learning and understanding should be filled in by putting in extra hours of study. Nowadays many online and part-time courses are available. Today knowledge is a crucial resource for business.

Diverse work experience:

A person that starts a business will have to assume many roles right from the Chief Executive Officer to a salesperson. Depending on the initial capital investment, one may or may not be able to recruit trained managers for various functions. Even if experienced managers are appointed for specific roles, there will be a need to assess their performance outcomes. This kind of evaluation has to be accurate for a new business to thrive and grow. An investor will be able to assess performance in various functions in a timely manner only if he has a basic understanding of various functions. For example, digital marketing, supply chain management, recruitment, and operations are a few functions where actual on the floors experience is inevitable. Before investing in your own startup try to gain knowledge in diverse disciplines by making sure that you work with different verticals over the years.

Working in a startup that has just started or is still striving to gain a stable business gives one a feel this life. The long hours of dedication, attention to every detail while multi-tasking and handling stress is not for everyone. You will be able to mentally prepare yourselves for the challenges to be faced in the future and also learn in advance the mistakes to be avoided.

Savings:

Any business proposition involves some amount of investment and working capital. Though loans can be availed, interest rates are often high enough to make business unviable. Also to be foreseen is the fact that some cash flow cycles are longer than others depending on the business. Though profits will take time to be generated, expenses will not wait and you will have to survive the period. Due to these reasons, it is extremely important to save money while working before starting your own venture.

Mentor team:

A startup makes many mistakes before arriving at a workable business model and finding a stable business. There are also many challenges to be met, problems to be solved and a lot of help and guidance is needed. A person who has already gone through this period can prove to be invaluable in guiding and offering mental support. It would be great if you can find a mentor who understands your goals, needs, and limitations. Often it is very difficult to find a single person with so many qualities. For this, a person should not have only one mentor but an entire team of mentors. This will help to widen the range of input and cross-check across diverse opinions.

Support system: 

Make sure you have good relations with the people in your life. They may be your family, friends, neighbors, landlord, investor, employee or clients. There are challenges coming up all the time in a businessman’s life and one needs financial help, time and patience from all stakeholders and associates. Maintaining good relations will help you sail through difficult times.

Networking:

Much before you actually venture out, start networking with people in the business. This will help you make important contacts to work through important deals, finance, talent acquisition, finance, and new business-oriented services and products. Many of the meetups for startups and business associations have regulars talks aiming to help improve the skill set and strategy. Interacting with others also gives an opportunity to sound your ideas on a wider platform.

Business proposition: 

A business is based on a core product or service.  To launch your own business you need to check if you have a good idea or are willing to take advantage of the existing market for existing products or services. Working out a new product or service will require immense work on the business models. Franchise business is an easier way to be a businessman with tried and tested business models that are replicable and eventually lead to growth.

Research:  

New ideas are always exciting but remember that it is not always profitable to run after a billion-dollar idea. Often it makes more sense to solve problems for existing services and products. If it is a new idea make sure that you put in every possible effort to research and refine the idea. Also, ensure that the timing is right for a good idea. Strategic analysis of a business from various points of view should be made using SWOT analysis, PESTLE analysis, and BCG matrix. If you are honest to yourselves about all the external factors, you will gain a more or less correct picture of the business scenario. If necessary, one should also invest in taking guidance from a management consultant.

Planning:  

It is no wonder if you have been told to stop planning and start executing but the truth is that the more in detail you plan, the less the hitches to be solved further on. Even a very good business concept can fail due to a lack of planning. A good way to plan is to make a flow chart or organogram linking all the stakeholders involved right from back end supply chain to after sales customer care. Once you have an established clientele, the need to scale up in time will present itself. Angel investors will be interested and funding will flow but consider all terms and conditions carefully. Investors are often driven by valuation. This behavior may drive you off track and you may lose focus or control of intrinsic value in the race for valuation. Plan well in advance the future course of your venture.

Marketing: 

First of all, define your market by answering questions such as:

Who is the customer?

What is your USP or Unique Selling Proposition?

Where is the customer?

How are the products or businesses to be accessed by a consumer?

The answers to these questions will help you to know your market and in turn, be the guiding beacon for the marketing team.

Execution:

Once you start execution, be brutally honest with yourselves when identifying problems and bottlenecks. Do not let anything stop you from correcting a mistake no matter it affects your ego or dealing with a parasitic business relationship. If a strategy or partner is not working, do not stretch too much in the hope that the course will smoothen out by itself. Have frank and honest conversations with all stakeholders and work out alternatives before it is too late. Do not try to do everything yourself all the time. Recruit personnel early enough to develop mutual understanding and allow them a period to settle down. This will train you also to work as a manager and get the job done.

There will be no end to prepare yourselves so design a timeline for your project. Remember there will not be any boss to review your progress so be your own boss and better be a strict one. Adhere strictly to the timeline and trust minor things to work out without getting hyper. Make a resolve to let nothing break your spirit and take the plunge.

The government relaxed its regulations regarding schools to enable more schools to provide education to more children at all levels from preschool to medical school. Today the franchise business in the education sector has reached a developed stage and faces increasing competition. All the same, it is still a lucrative business opportunity and one that has a fast expanding market.

Certain aspects should be considered before selecting a franchise for education.

Age group:   

The main age groups in education refer to preschool, school from grade one to twelve, teenagers appearing for entrance exams, undergraduate and postgraduate. The intricacies of each are immense and complicated. On a more basic level, the preschool education franchise focus more on safety, health, hygiene, and often day care services for working parents. The main years of schooling focus on education as a composite of subject knowledge, developing life skills such as communication, sports and extra-curricular activities based on interests in arts, science, and technology, social service, etc. 

There is a huge demand for tuition classes that train children to appear for entrance exams for such as PMT, JEE or qualifying exams such as IELTS or GMAT. At the college level, private and self-financed colleges have been established in every field ranging from hospital management to nano-technology. One has to choose a segment that one is comfortable with and understands the most because apart from qualifications, many other factors come into play.

Regulations and certifications: 

Regulatory requirement for each age group is different with respect to infrastructure as well as resources. Higher education requires approval by AICTE or UGC in India. School boards also require conditions for affiliation to be met. The international boards such as IB, ICSE, CIE or IGSCE have very strict standards regarding the qualification of teaching staff, infrastructure, safety, and curriculum. The affiliation procedure for UGC, AICTE or school boards is lengthy and complicated.

When choosing a franchise for education, bear in mind the requirement and standards that will be continuously expected. The external examination and assessment procedures are also costly and rigorous so they must be considered before opting for a franchise. Most of the franchise schools have options regarding the board for affiliation. A detailed study of the costs and prerequisites will be necessary for the right selection.

Human resources development:

Educational franchises have a highly defined pedagogy and curriculum. They provide training to teaching staff to ensure adherence to the method. There is also continuous refresher training and assessment of teachers. These frequent training schedules are costly and have to be ensured in a predefined time frame. 

An educational institute would definitely benefit from training support. Support would also be required for the recruitment of staff that is qualified as per the specified norms. Franchises have specialized staff for training and maintain a regular schedule so school management does not have to focus on the training and recruitment of teachers.

Market segment:  

Make it a point to study the positioning of a school with respect to the market. Parents are willing to pay fortunes for the education of their children and schools often differentiate themselves as a basic level by the facilities offered to students.  Another point of differentiation is in the ideology of the school. India is at a turning point where western influences are thriving along with the resurgence of the ancient Vedic approach to life.

Some of the schools consciously align with these philosophies and parents are also highly aware of these influences. Schools are highly associated with upbringing and thus choices differ. With respect to location, these choices can matter. There are patrons for simplicity and there are patrons for the smart jet set.

Finance: 

The infrastructure required varies greatly in different educational establishments. Consider the investment that would be necessary and also the time that is taken to break even. Find out whether there are specifications about owning the infrastructure or provision for rental lease agreements. Banks are willing to finance well-known businesses but the education sector has mostly intangible assets so you will need to be doubly sure.

Due diligence:   

Before signing an agreement with an educational franchise, research about its compliance with the law. It should not have too many lawsuits filed by parents as this can result in negative publicity at any stage. When buying out an existing franchise school, be very particular whether all required documents and compliances are in place or not.

Safety is one of the major points of concern for parents now and they are not willing to compromise on it at all. Some states such as Gujarat have a fee regulatory committee too which sets a cap on the maximum fees that can be charged by a school. Consider the business model in the context of such an environment and on a long term basis.

Tie-ups with corporate:   

An educationist can benefit in many ways through tie-ups with corporates. In locations where huge industrial plants are established, there are often tie-ups with education franchise to open preschools and other services. These tie-ups give the opportunity of tapping a captive market and even become a matter of prestige.

Franchisor policy: 

An educational hub requires a predefined number of students to become profitable. If the franchisor issues multiple licenses in a small area, the market is lost and it may become difficult to break even for a franchise. On the other hand, there may be a limitation on holding a franchise for multiple locations. At times, the franchisor also competes with the franchise school to enroll students. Such policies should be understood and considered before entering an agreement.

Support:  

Assess the level of support provided by a franchise in terms of training, resources, marketing, and management. A school requires all these frequently and inadequate support by the franchisor can result in a chaotic situation.

The best way to understand the functioning of a particular school is to work with it at all levels. This allows for a grasp on the different requirements of an educational establishment. In the past, there have been incidences of irrational expansion without adequate financing and marketing which has lead to loss of face and money for the investors.

All the same, most of the franchises schools in India are doing very well and winning the confidence of parents for all age groups and segments. The considerations to make before buying a franchise in the education sector are many. One has to assess the capability to deal with different issues. The involvement and knowledge required are immense and also requires continual up-gradation.

Associating with a franchise will definitely help you to hone the educational services provided by you. By shouldering the major responsibilities for human resource development and marketing, the franchisor will leave you enough time to concentrate on the functioning of the school. Adherence to the predefined processes and standards will be your main job and eliminate most of the sources of worry. Make a thorough research of the market and the opportunities available and go ahead with a reputed franchise.