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Why not become a Master Franchisee

Written by: Nick Strong

Article Overview: Buying a Master Franchise license offers the license holder the opportunity to build their own franchise business network in their own country or region. This type of franchise development can be cheaper than buying one fast food franchise outlet. So, could Master Franchise business development be right for you?

Why not become a Master Franchisee

Nick Strong Managing director of www.selectyourfranchise.com and Brian Duckett MD of www.horwathfranchsing.co.uk look at the merits and requirements of becoming a master franchisee.
When you consider that the Master Franchise fee for a whole country for a service-based franchise is often less than the cost of setting up a single unit outlet for some food service or premises-based retail franchises, one can see why more people are thinking "Why should I just become a franchisee when I could be a Master?"
Of course, the skills required of a Master are very different, but for someone who is of the mindset of a typical franchisee, i.e. not too entrepreneurial and looking to be part of a proven system with established support structures, master franchising can offer far greater potential than simply running a single franchised outlet.
Becoming the local operation of an overseas franchisor is not just an opportunity for individuals looking to start their own business. Many existing businesses look for opportunities from around the world, particularly those companies who are experienced in a particular field, say food service retailing, who have the operational expertise but perhaps lack the creativity, time or money to develop their own new products or services from scratch.
New products for an existing client base or distribution network, or even an opportunity to convert existing stores to a new brand, can quickly transform a business, which has perhaps grown tired. Potential conversion works to the advantage of both Franchisor and Developer as they can more quickly achieve brand awareness than they would opening a store at a time. Having an established network available for conversion is also a good bargaining point for the prospective Developer in reducing the up-front fee on the grounds that income flow, from ongoing fees, will grow more quickly.
An interesting trend around the world is for existing franchisors (or indeed master franchisees) to be looking for another franchise system to operate alongside their original network. This often happens if they are nearing capacity, when they basically have two choices - either become an international franchisor themselves, and take their own brand overseas, or start another franchise at home, hopefully gaining some efficiencies from existing support team structures.
Looking at it from the overseas Franchisor's point of view, someone who already has experience of running a franchised network may be a very attractive prospect as a Master Franchisee as they will already have many of the required skills, and maybe even the staff. This means the operation should grow faster than taking on someone with no franchising experience.

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Related Forum Posts
Protecting IP - Dear BigJim 22 Sure as long as it is in the Franchise agreement... ie wht you are offering as Francisor and what their obligations are as Franchisee It is all in the agreement........ take care Ian
MLM Master Distributor Needed - Hi, We are launching a brand new MLM company this month and we need to bring on a Master Distributor to launch the company. If you have built a large downline, we want to talk with you asap. This position will be at the forefront of the company, and we are considering giving this position overrides on all company sales. Note, this is a one-time offer to interview with us as our initial Master Distributor positions will no longer be available. If you believe you are capable of helping please contact me here: skipsanzeri@yahoo.com Please send along any detail about downlines you’ve built including size etc. Thanks Skip
Importing from Russia - Hi Master - should you not have some idea of what you want to import? This would make the search easier to find someone.
Re: Importing from Russia - [quote="saraloves":ywo3c5fo]Hi Master - should you not have some idea of what you want to import? This would make the search easier to find someone.[/quote:ywo3c5fo] True! It is a little vague so far...
Re: Great at one thing OR good at everything? - [quote="babyjoy214":tb4042ja]I heard this from my dad "Jack of All Traits, Master of None"[/quote:tb4042ja] Personally, I see myself as being a good at a lot of my passions, but not "great" enough to earn a living from any of them. I feel that our society favors those who specialize and pigeon hole themselves into one thing. In fact, I don't think you can even get a high paying job without spending 6 years studying that one subject in college + post grad studies.


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