The Military Experience: Why Veterans Make Great Franchisees

Entrepreneurs come from all walks of life, but there has been a growing trend of military veterans going into business for themselves after completing their military service. According to a study from the U.S. Small Business Administration (SBA), military veterans are at least 45 percent more likely to open their own business compared to people with no active-duty military experience. In 2007 alone, veterans owned 2.4 million businesses, or 9 percent of all businesses in the U.S. These trends extend to franchising, with one out of every seven franchise businesses owned and operated by U.S. military veterans, according to a recent study conducted for the International Franchise Association Educational Foundation. Much of the training received in the military translates well to franchising, making this experience some of the best preparation for becoming a franchise owner. So what skills do military veterans possess that makes them such ideal franchisee candidates? Proven Leadership and Emphasis on Teamwork At a young age, military servicemen and -women are given the opportunity to take on important leadership roles, so military personnel become comfortable in these positions early. “The U.S. Army taught me leadership skills and teamwork that translates to my business and how I operate it,” said Shutao Wang, a current Army operating room first assistant technician at Fort Jackson in Columbia, South Carolina, and the new owner of Lenny’s Sub Shop in Greenville, South Carolina. By learning how to lead a team, as well as how to support your staff at every level, veterans gain a unique skill set that develops their business management capabilities. Willingness to follow a system Franchising is a balance between strong leadership and the ability to follow a defined set of systems. Althought both are valuable skills, being able to follow the systems of a franchise is key to any franchisee’s success, and in the military following protocol is essential. “People that have worked in our U.S armed forces not only understand the importance of following standard operating procedures, they embrace them,” says Eric Little Senior Vice President for Right at Home*. “They know that the operating systems, checklists, and procedures serve a specific purpose, and they ultimately save them from making critical and costly errors. The same theory applies in business, which is why franchisors like Right at Home are so interested in recruiting those with a military background.” Discipline and Adaptability Discipline and adaptability are key qualities in opening any new business, and are also attributes common among veterans. In the first few years of opening a new business there can be many highs and lows. Whether acting as a military leader or a franchise owner, minor setbacks cannot get in the way of the longer-term goal. Having the discipline to know when to stay the course and the ability to make a decision and stick with it are very important in franchisees. Sense of calm in high stress situations Owning a business can lead to very stressful situations. Military personnel are trained to be able to think on their feet without losing their cool. This attribute not only benefits their decision making, but also helps keep employees calm and rational as well. “One of the best qualities I’ve noticed from those in our system that come from a military background is their business philosophy and positive attitude,” said Little. “They tend to be predictably reasonable in their approach to business decisions, and that quality alone will help them attract great employees.”   --Brooke Wylie