Franchising Is a Better Path to Success than Opening a StandAlone Business
There’s a funny thing about the franchising business. When the job market is shaky, like it is now, the franchising industry starts growing, because it is some sort of safety net that most ordinary Americans have in order to fall back on. There are several reasons why people choose franchise businesses over stand-alone businesses:
• It is virtually risk-free: Starting a franchising business means that you are following a successful business system. Your franchisor has done all the hard work and you are supposed to follow his footsteps; it has invented the wheel and all you have to do is check whether the wheel is running smoothly. You will be guided on every detail about each wing of the business. Now, compare that to a start-up business. Here, you have to start from scratch, build up an image and then finally see some profits. During this long course of action, you may make such mistakes that can seriously jeopardize your financial health. Hence, why will you take such risks when franchising businesses are available?
• Almost anyone can enter: The door to franchising business is open for anyone interested in the business. If you have the right temperament and the required money, you are bound to find a franchisor of your choice. That is why from war-returned veterans to white-color corporate workers – you will find all of them in the burgeoning franchising business. The comprehensive training provided by the franchisor make them fit for running the franchised unit by the time it opens. Furthermore, the franchisor is always there to get the franchisees out of any problem. Weigh that against standalone businesses and you will understand that here, you will need some amount of business sense or background to succeed. Moreover, there is no one to guide you in time of need.
• The budget range fits every pocket: When you start a franchising business, you know how much initial investment you are required to make. All the details will be there in the franchisor’s UFOC. What’s more, there are certain franchising businesses that can be started with an investment as low as $25,000! But with standalone businesses, you will never know how much money you will need. There is no one to give a sketch; you have to make an estimate of your own. A slight deviation from that estimate can put you in trouble.
Franchising can be a good entry to owning your own business. Of course, while a franchisor gives you the tools for success, it's up to you to implement them to truly make your business soar.