Why buy franchise business? Franchising is just what the doctor ordered for those willing to ride on the back of well established, successful brands and don’t want the risks of starting a new business by themselves.
So, what are the advantages of franchising? Bet you’ll give a serious thought to buying a franchise after reading this bit.
It’s all about money, honey: Funding is the first thing that strikes you when you think of setting up a business, right? But to buy franchise will ease your pain. One of the most important advantages of franchising is that financing is often available from the franchiser. You might only have to pay an upfront fee going up to a few thousand dollars and an on-going royalty based on the gross sales of your business.
Your place or mine?: If you already own a commercial property, this is a great opportunity to put it to good use. This will help you secure the returns on your investment and also avoid fluctuations in real estate expenses. However, should you need to lease a property, then another advantage of buy franchise is that you’ll probably not have trouble finding a suitable landlord.
Hit the ground running: If you’re taking a franchise of an established brand, then you don’t have to wait long before the returns kick in. Since the products or services are already known to customers, you’re spared the pain of building the brand from scratch. Instead, focus those energies on building reputation and a loyal customer base.
It’s all in the name: A strong brand identity gets things moving faster and provides credibility that is vital to success. This is arguably one of the biggest advantages of franchising – that you have the right to use the brand name and trade marks of the franchiser, which saves you thousands of precious marketing dollars.
Hold hands: McDonald’s makes most of their major franchisees go through management courses at their own campus called Hamburger University. A strong franchise brand will invest in supporting it’s franchisees. An efficient trouble shooting service to help anticipate problems and handle the unexpected situation is one example. Regular training and retraining programmes to update you on products, services and market trends is another indicator of franchiser commitment before you buy franchise.
No screw-ups: Another huge advantage of franchising is that you don’t have to make your own mistakes to learn! Bank on the collective experience of the franchiser and other franchisees to avoid those classic pitfalls.
Kissing it goodbye: We’re saving the best for last! If ever you decide you want out, chances are you’ll probably find a lot of people willing to buy an on-going business. And that’s an advantage of franchising that you simply can’t ignore.
Franchising has many advantages,however, be sure to cover all the bases. Assess your interests, strengths and weaknesses beforehand. Think carefully about the kind of business you want to be in. While buying a franchise reduces your risks, you will face other challenges, least of which is successfully integrating your business into the larger franchise network. Investigate the franchisor’s credentials and study their commercial terms carefully. If you have already started to think in this direction, you’ll find some great resources at www.great-opportunities.us and www.sourcebookpublications.com .
Convinced? Now go ahead and Buy a Franchise.