Business on Platter
Today, franchising is helping thousands of individuals be their own boss and own and operate their own business. Franchising allows entrepreneurs to be in business for themselves, but not by themselves. There is usually a much higher likelihood of success when an individual opens a franchise as opposed to a mom and pop business, since a proven business formula is in place. The products, services, and business operations have already been established.
There is a reason why franchising has been around for decades. It is a great way for individuals to own and operate their own business. If you are thinking about buying a franchise, do your homework, research the company, and you should consult with a franchise consultant or franchise attorney before making a final commitment.
- Corporate image - The corporate image and brand awareness of the company is already
established. Consumers are always more comfortable purchasing items from a familiar
name or company they trust.
- Training - The franchisor usually provides extensive training and support to the franchise
- Savings in time - Since the franchise company already has the business model in place
you can focus on running a successful business
Advantages Of Buying A Franchise
Lower Failure Rate :
When You Buy A Franchise, You Are Buying An Established Concept That Has Been Successful. Statistics Show That Franchisees Stand A Much Better Chance Of Success Than People Who Start Independent Businesses; Independent Businesses Stand A 70 To 80 Percent Chance Of Not Surviving The First Few Critical Years While Franchisees Have An 80 Percent Chance Of Surviving (Michael M. Coltman, Franchising In Canada: Pros And Cons, Self-Counsel Press).
Help With Start Up And Beyond :
You Get A Lot Of Help Starting Your Business And Running It Afterwards. Many Franchises Are, In Fact, . Turnkey Operation .When You Buy A Franchise, You Get All The Equipment, Supplies And Instruction Or Training Needed To Start The Business. In Many Cases, You Also Get Ongoing Training, And Help With Management And Marketing. Your Franchise Will Reap The Benefit Of The Parent Company's National Marketing Campaigns, For Instance.
Buying Power :
Your Franchise Will Benefit From The Collective Buying Power Of The Parent Company As The Franchisor Can Afford To Buy In Bulk And Pass The Savings Along To Franchisees. Inventory And Supplies Will Cost Less Than If You Were Running An Independent Company.
Star Power :
Many Well-Known Franchises Have National Brand-Name Recognition. Buying A Franchise Can Be Like Buying A Business With Built-In Customers.
A Franchise Business Can Be Immensely Profitable.
- Be Your Own Boss (At Least To A Point) As Appose To Working For An Employer. Franchises Offer You The Chance To Go Into Business Yourself Even If You Are Lacking In Capital Or Business Experience.
- Get A Head Start. Compared To Normal Start-Up Companies, Franchises Provide A Head Start To The Business Owner By Providing Support On An As-Needed Basis. A Common Saying In The Franchise Industry Is "You're In Business For Yourself, But Not By Yourself."
- Gain Additional Training And Assistance. Franchises Have A Vested Interest In Your Success. As A Result, Many Offer Extended Training And Assistance With Business Set-Up, Personnel Training, Site Selection, Lease Negotiation, Collective Buying Power, And Advertising.
- Profit From Name Recognition. One Of The Most Difficult Things To Do When Starting A Business Is To Develop A Recognisable Presence With Your Customers. This Usually Only Happens Over Time. Franchises Eliminate This Hurdle By Developing An Image In The Marketplace. This Is Important Because It Saves You Both Time And Money. However, Be Certain That The Image Is A Favorable One Before You Invest.
- Enjoy Yourself. Pick Something You Are Going To Enjoy Doing Years Down The Road. It's Easy To Get Mislead By Promises Of High Profits And Outstanding Growth, But In The End, If You Don't Like It, Chances Are You Won't Stick With It.