Thinking of investing in a mobile franchise opportunity? One important consideration before you sign up to a system is the cashflow issue. 

Cashflow varies – and poses risks – for all businesses. For mobile businesses, so often a one-person act, there’s less flexibility in hours worked. Usually there’s less cash flowing than bigger businesses where a good month can buffer the next.

For these smallest of businesses there’s less ‘wobble-room’ says Kate Groom, co-founder of SmartFranchise. “So it’s vital to plan for likely peaks and troughs.”

1. Get an accountant

Groom says cashflow projections by an accountant are bedrock for business plans. Use marketing to level out cashflow or create revenue peaks to set aside for troughs.

“Many mobile franchisees are used to a regular income. Employers have buffered them against risks to cashflow. Often they skate over these priorities too quickly without planning around them,” says Groom. “The worst risk is not having a marketing plan to combat identifiable risks.”

2. Include all the costs

You might think you’ve done your business plan because you’ve budgeted for travel costs – petrol, travel time, vehicle insurance and maintenance. Factor into your business plan all payments such as personal and business insurance, tax, services such as bookkeeping, business planning or accountancy.

Remember to also double-check your agreement for required upgrades to equipment or vehicles – or risk an expensive surprise.

3. Be logistical

The biggest time-waster can be driving around between jobs. Concentrate your early marketing in blocks where you already have jobs. Add logistics to your admin work and boost productivity by planning ahead, adjusting routes to be more efficient and filled with more jobs.