Many people want to run their own businesses and not have to answer to bosses. There is the draw of making your own money and working for yourself. However, there is always a certain amount of risk involved in any financial venture so everyone wants to be quite careful before sinking their hard earned money into a franchise.
Not to mention, even though it is your business, you are still paying the franchisor royalties on an ongoing basis. If that bothers you, then franchising is most likely not something you will want to do.
On the other hand, if you’re considering buying a franchise in something, here are 4 excellent reasons to support your decision:
Franchisors that are successful have a business that has proved to be viable. It’s like a turn-key business. The franchisor has learned from both successes and failures in addition to having taken all the risks to provide a more stable and profitable business. Things learned include the best practices, most effective strategies for marketing, inventory systems, site selection, customized software, and preferred list of vendors.
Franchisors will also supply financial assistance, if needed. Many of them offer in-house financing, or they have a long standing relationship with another lender. In addition, the Small Business Association, or SBA, favor franchise loans over independent businesses.
Once you become a franchisee, the franchisor and other franchisees will offer you all the support you need. This begins with the first day you sign the agreement. You will be given all the training you need as well as ongoing support. The most important training you will receive is in the area of how to successfully market your business and this will be quite intense.
When you become a franchisee, your business has a strong chance to succeed. These can grow and succeed even in the midst of recession. Don’t forget that you will always have the support you need from the franchisor even during difficult financial times.
Now, if you’re convinced that buying into a franchise is the right move for you, it’s time to consider what sort of business you want it to be. Don’t get involved in something just because it has been a proven success. If you aren’t excited about it, then it won’t work out well anyway. Find a business that you are passionate about and start there. Do your research and you’ll find many types to choose from.
About the Author
Mark McCool spent most of the late 90’s in the web design, Internet marketing, and Internet promotion business and he is the Executive Vice President of Cyberwize.