Although there are more than ten good reasons to
invest in a franchise opportunity, your decision to go into
business has a lot to do with lifestyle and financial benefits.
Whether a home-based, service, retail, or fast-food opportunity,
franchising is one of safest, dynamic, and progressive business
concepts you can invest in.
1.
A Springboard to Entrepreneurship
Buying a franchise allows you to become an entrepreneur in less
time, limiting the multiple barriers first-time business owners
would face. Essentially, you are buying a “business in a box” – a
turnkey operation that has been designed, tested, and proven by a
team of industry experts. By simply paying the fees and costs
involved and following the designated training program, your entry
to entrepreneurship is instantly satisfied.
2. A Safe Investment Decision
The failure rate of franchises is much lower than starting an
independent business. Franchises are a safer investment because as
the “system” grows, so should the security and strength of the
infrastructure. To support this growth, the franchisor continues to
add newer and more effective methods of improving the concept. A
large franchise system usually means that brand recognition has
reached widespread proportions, thereby increasing your revenue
potential.
3.
Enhanced Lifestyle
Many franchisees have claimed that franchising has allowed them
lifestyle flexibilities that conventional employment cannot offer.
The number one lifestyle perk continues to be the opportunity to
spend more time with family, followed by an enhanced income.
Franchisees have felt a greater sense of pride, financial
accomplishment, and personal success as members of a successful
franchise concept.
4. Govermental Protection and Safeguarding
Franchising is a regulated industry overseen by a number of federal
level organizations in the United States and Canada. The disclosure
document, or UFOC, outlines 23 key areas that each franchisor is
required to disclose to franchisee prospects in order to make an
informed decision about the opportunity.
5.Quicker and Easier Access to Financing
Through such organizations as the SBA, securing franchise financing
has become a streamlined process, involving less red tape and
paperwork. Some larger franchise systems even provide in-house
financing and/or leasing options. Local or regional small business
organizations across the country have designated franchise funding
programs, providing additional assistance to women, the disabled,
and visible minorities.
6.
Ongoing Training and Franchisor Support
The initial training program offered by franchisors is a key
selling feature which franchisee prospects should examine
thoroughly prior to signing the franchise agreement. This initial
training involve head office and/or an in-outlet training session,
which includes an operations manual. Ongoing training allows
franchisees to grow within the system and develop strong business
operating skills.
7.Opportunity for Growth Within the Franchise System
Successful franchisees in any system are rewarded with advancement
within the chain by receiving incentives on the purchase of
additional outlets, leadership roles at the head office level, and
an opportunity to acquire area developer rights or a master
franchise - a role involving the overseeing and development of the
system in a designated geographical area.
8. A Variety of Investment Levels
You don't have to be rich to buy a franchise or require an
extensive net worth to qualify. You can find franchise
opportunities for as little as a few thousand dollars that can be
operated from home or on a part-time basis. The best place to begin
your search is at one of many franchise directories available
online that list thousands of franchises, in all categories and
investment levels.
9.
Professional Development
Becoming a franchisee does not lessen one’s entrepreneurial role
and position. Progressive franchise systems provide its outlet
owners with access to professional development and leadership
seminars, business coaching, and other industry advancement
initiatives. With a larger support network at arm’s reach,
franchisees are business owners with advanced knowledge in small
business affairs.
10. Buying Into a Start-Up Franchise System
Buying into a start-up franchise system can involve some financial
risk and operational challenges, yet the long-term rewards –
especially financial – is a reason to consider investing in a
ground-floor opportunity. Pioneer franchising relies on the
innovations, ideas, and determination of the “starter group” of
franchisees to assist in the growth and development of the system.
New franchisors typically offer its starter group with investment
incentives such as a reduced franchise fee and a royalty-free
period.
