Common Challenges for New Franchisees: Part Two

Letting go of employees is perhaps one of the most difficult tasks that business owners face. Especially for brand new business owners who are just getting a handle on the operations of a business, firing someone can be pretty nerve-wracking. Perhaps that’s why our Franchise Business Consultants identified hanging on to staff members that aren’t good for the business as the number one mistake that gets new franchisees into difficult situations.

Although it sounds like a no-brainer to let go of people who are bad for business, it turns out that this is easier said than done. How do franchisees get themselves into this situation?

Emotional attachment to team members. Even if you really like an employee, you’re hurting your other employees and your business by keeping a staff member who doesn’t fit or sets a bad example.
Feeling that a particular staff member is irreplaceable. It’s easy to slide into a situation where the day-to-day seems dependent on one single person and that replacing them will disrupt everything. Here, diligent transition planning is the answer. Your Franchise Business Consultant can help you create a plan to ease your staff and your customers through the change.

Especially in the ramp-up phase of building your business, even one counterproductive staff member can hold back your whole business. In addition to hindering operations, they divert the attention and focus that you should reserve for growing your business.

The most important thing to remember is that although the dismissal of an employee may be a difficult moment, the reason that you’re doing it is to enable positive changes for your customers and your other employees. Keeping that in focus for yourself and your staff is the key to a successful transition.

What is your experience with having to let people go? Let us know what you think about the positives and the challenges of making staffing changes.

Post your questions or comments below. If you have an idea for a topic you’d like to see discussed here, email us at

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