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To Franchise or Not to Franchise, That is the Question

Guest post by: David Anthony Watson

Article Overview: With the current recession having a big impact on job security and unemployment levels rising, many people are looking at alternative ways to make their income. This may be to supplement their salary by doing additional work from home or taking the plunge and setting up on their own. Franchising has become a real option for many of those corporate employees who are finding themselves being made redundant. This article looks at some low cost Franchise options working from home.

To Franchise or Not to Franchise, That is the Question



Franchises are the obvious alternative to starting up on your own as you are generally buying into a proven concept and you should expect support and training from the Franchisor. There will also be a system in place to follow which should enable you to run your business effectively.

In terms of costs, Franchises can range from very high to minimal depending on what business you are looking to buy into. A restaurant for example is going to cost you a substantial amount of capital up front and then you have a large operation to manage. A small home based business however should have relatively low costs as you are unlikely to be employing staff initially or renting office space. And the great thing about a home based business is that if you invest wisely you could be turning a profit in less than a year.

There are maNy franchise opportunities for people with small budgets and fortunately a low cost franchise does not necessarily mean a business with low income potential. I would spend time researching the many Franchise websites to come up with some inspiration on what you would like to do. The types of Franchise that you chose should be based around the following criteria:

Can you see yourself enjoying the work and is the product appealing?

Will this work be able to fit around your lifestyle?

Are you prepared to put in the training in order to make this business a success?

Have you completed your due diligence?

If you answer yes to all these questions and you have the budget and time available then don’t delay. You could soon be earning additional income to help support your family through these tough economic times.

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Article Tags: franchise options, home based franchise, home based low cost franchise options, job security, low cost franchise, working from home
Referred by: http://jaykubassek.com/



Related Forum Posts
Re: Enticing Franchises - Top 9 List - All Franchise listed above are in millions of dollars. Do you have the list of Franchise in thousands
Re: Info for would be franchisers... - [quote="Sebastien":1d29sdv1]Like Franchise Times, Franchise Update is a very practical magazine. There is no blah blah, just straight facts that anyone in the franchise community can relate to. I just want to mention that all these magazines are NOT franchisee oriented. I mean these magazines are for franchise professionals. If you're looking to buy a franchise, you won't find much information in there. To answer your question, getting published in Franchise Times was fairly easy. I don't want to brag too much but I think I am known in the franchise industry. I was the marketing guy at Franchise.com for a few years before joining my new company, the World Franchising Network. So people know me and I have a very good relationship with Nancy Weingartner, the Managing Editor at Franchise Times. I was talking with her at the last Franchise Expo South in Miami and she mentioned she'd like me to be profiled. I was like "ok, sure!". I like this franchise executive profile thing in Franchise Times as it is rarely BS. People are usually really natural in there.[/quote:1d29sdv1] Thanks for the follow up Sebastien! And I can't say that I'm surprised that networking with the right people and managing your relationships with them properly are the keys to being published. I guess the old adage holds true of "it's not who you know, but who knows you" that's important.
how much for a franchise fee? - Dear Colleague There is no easy answer to this question. Things to consider: [list=] The sizeof the Franchise Clent base Expected Turnover Intellectual Property costs (recoup) Number of Franchises Number of employees Original Set up costs Franchise admin costs An example: A franchise that I was involved in setting was to a simple "lawn mowing/home repair" franchise. The Franchise included national/local advertising - preparation of client lists - general admin - central accounting etc The Franchise involved 300-500 clients - and an annual turnover of about $300,000 . The annual franchise fee was $30,000. Hope that this gives you some idea Take care Ian[/list]
Re: Franchise Surveys - Another good tool to researching a franchise is to speak with their existing franchisees. This contact information is included in most Franchise Disclosure Documents. In order to get a Franchise Disclosure Document or FDD as it is often referred to, you will have to complete a basic franchise application. The franchisor will then usually provide you with the FDD at that time. Included in that book of information is a list of the existing franchisees, the contract, the investment information etc... This information is required by Federal Law to be disclosed to your prior to making a purchase. So be sure to do your research and start with the Franchise Documents to get the initial information.
Re: Info for would be franchisers... - [quote="Sebastien":2gam0klq][quote="BuzzAroundBooks":2gam0klq]Like Franchise Times, Franchise Update is a very practical magazine. There is no blah blah, just straight facts that anyone in the franchise community can relate to.[/quote:2gam0klq][/quote:2gam0klq] That is really what I look for in any industry publication. We lead busy lives and when people fill their magazines with fluff, not only does it benefit no one, but it makes us truly appreciate those that don't. Thanks!


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