With all the decisions you have to make when deciding what franchise to invest in, there might be a few that you gloss over, put on the back burner, or frankly don’t even consider. You’ve answered the obvious ones: What is it that you want to do? How much capital do you need to get started? And, how do you want this franchise to help you with work/life goals?
But, if you are seriously considering becoming a franchise business owner there is something you need to consider when making your final decision. And, it has nothing to do with you!
The question is: What does your potential workforce pool look like?
Understanding the population of individuals that you will need to hire can help make your venture more successful.
There’s no denying that up until the point of hiring your team you have done your research. Everything from what types of businesses are needed in the area, to what has succeeded or failed. You may have had to negotiate a lease or even purchased a property (if you require a store front), which required a lot of your energy and time, and so on. But, what do you know about the skills and talents of the pool of people you will recruit from? What do they look like? Who are they?
When looking at the labor pool there are two categories of people: skilled and unskilled.
Indeed.com defines skilled labor as a person who has “a certain amount of training or skills.” This individual may fall into both the blue- and white-collar categories. They can be anything from an electrician to a plumber, to a nurse or doctor. They bring to the table a set of specialized skills and may hold certificates or advanced degrees. Because of their credentials, they are typically paid more and will have more responsibilities. Unskilled laborers haven’t attended training or pursued an education. These individuals may have great customer service skills or can handle more physically demanding jobs. From cashiers to grocery clerks to cleaning and lawn care work, this pool of people will need to be trained for the work you hire them to do.
So where can you get information and research on your labor pool?
- Get acquainted with the local Business and Economic Development Center.
Depending on where you are this can be called a number of things, but the role is basically the same. While they are promoting and advocating and encouraging local engagement, they are collecting data. Data on businesses, people, spending habits, and more. Their job is to bring in business and make your business succeed…so access their help! Find out if businesses in the area pay a living wage or minimum wage. Or, what is the number of high school graduates who stay in the area versus leaving to attend college?
- Visit the local community college, high schools, or trade programs.
A good indicator of whether you have skilled or unskilled laborers is to find out what courses the local schools offer. If there are more advanced placement classes than work-study options the chances of the younger population going off to college are greater. But, if recent high school graduates stay home, and don’t pursue a degree you may have a bigger pool of available unskilled laborers to choose from.
As a manager/business owner it’s important to have both skilled and unskilled laborers in your organization. For the skilled worker, you may have a long-term employee who wants to set down roots and make a career in your business. For the unskilled, you have the opportunity to mentor and grow a person who may one day become a skilled lifer within your company. But knowing up front who it is that you have to work with is important for your franchise business success.
Let our expert consultants help you understand and navigate the topic of skilled v. unskilled laborers, call Franocity today at 561-609-6200 for a free consultation.