Are Franchises the Answer to Starting a Small Business?
It is the American dream to own your own business. The number of people that will start a small business or home business is staggering. Starting your own business is a big step to take and can be very scary. Fear of failure is one of the biggest reasons that hold people back from quitting their job and starting a small business.
Many feel confident when starting business when they purchase a franchise. Franchises have systems in place that are tried and tested. They have a proven track record and therefore people think that there is less likelihood of failing. All they have to do is follow the system and success. All too often success is not achieved.
Franchises are very costly to purchase. Then after the initial purchase of the franchise, there is monthly franchise and mandatory advertising costs that have to be paid. These are paid whether you are turning a net profit or not. Advertising fees are paid even if the advertising dollars are not spent in your area or benefitting your business.
Over the years my husband and I have purchased several franchises. Somewhere very prosperous but the majority was costly. We lost money and ended up closing the doors and trying to figure out how to pay the bills.
My recommendation is to look for a small business opportunity that you can operate from your home. A business that costs are controlled by yourself and have a lucrative compensation plan so you can start working smarter not harder.