I've worked with a number of businesses that expanded into a few locations, and then felt that it was time to create a franchise. Using a franchising model as a vehicle to growth is often enticing. The owner should think about end goals, and whether a franchise can actually fulfill them. Take the time to assess the energy it takes to establish a franchise, and then ask whether once transformed into a franchise the business, and owner will still thrive.
Some initial questions to ask:
1) Is my business attractive enough to actually "sell", as a franchise.
1a.) Are you ready to standardize the business model (operations, products, etc.), and after that transformation, will it still be differentiated enough to be attractive?
2) Are you ready to step away from the day to day business operations to dedicate your energy into launching and managing the franchise? (often the diversion of efforts can be very taxing on the existing business).
2a.) Do you want to be in the business of running the kind of specific operation you have, or selling and managing franchises, which is often a switch owners don't consider (and later regret because they really enjoyed the hands-on day to day experience of the way it used to be).
3) What are the advantages/disadvantages of a franchise vs. the alternatives (i.e. partnerships, etc.) ?
4) What are your ultimate goals, and how exactly will franchising accomplish them?