Here are a few suggestions on finding a good franchise:
- Cost. Cost is an important factor not only in founding a business but in almost all else in life. When it comes to the expense of acquiring a franchise company it might appear a wee bit too expensive compared to starting your own business from scratch but you have to consider not only the short-term costs but the long-term ones as well. If you decide you can bear the cost and you can get more from the possibilities a franchise enterprise has to proffer then it is sensible to go the way of purchasing one, otherwise you kick off your own venture from scratch.
- Once you buy a franchise, you sell goods and services that are already recognised and are given training and support that helps you succeed in your company. However, not all concessions can be a guaranteed success. Buying a franchise permits you to operate a company and on coughing up a franchise fee of a few grand, you follow a format stipulated by the franchise seller and not your own.
- Buying a franchise may reduce investment risks as you are affiliated with an established company. This could be costly to you. There are some costs that you'll have to bear like the franchise fee which runs to several grand to several hundred grand and royalty payments to be made to the owner, which are usually fixed; a percentage of either your weekly or monthly gross income. Even if you have not earned a large amount through the business it will still be necessary to pay royalties without fail.
- Support. Different franchise vendors have their own forms of support so as to assist a new venture owner get his company off the ground. When beginning with a franchise find out what form of support the franchise seller offers and decide which franchisor offers more training and support benefits for the amount of money invested.
- A breach in the franchise contract may make you lose the right to the franchise. If the agreement is for a short time, then there is no guarantee of its renewal. The owner has the right to terminate the agreement if you fail to pay royalties or fail to follow the performance standards and sales restrictions set out in the agreement. And once the contract has ended, you lose out on your investment. A concession contract usually lasts for 15 to 20 years, after which the franchise vendor can decline any renewal of the agreement.
- Look for discounts that numerous franchisors have accumulated and look for additional benefits. Starting a franchise has the benefit of not starting from scratch because five percent of businesses succeed in the first five years while seventy-five percent of franchises succeed in their first five years.
- Conditions: You should review the exceptions and conditions associated with using the brand. Also ask whether the franchise seller owns copyrights or patents on the equipment you will be using or the products you will be vending.
- Expect to cough up a good deal more if you purchase a franchise since it has a brand name that will draw in clients. A lesser-known franchise might be cheaper but still costly. If you're low on money you can begin on the 'net and advertise on free advertising web sites. There is no mystical franchise and even if it's well known, it won't work without hard graft on your part. You will need your personal qualities and skills to make a good franchise shop bloom.
- Starting a franchise is like trying to ride a bike with help at hand. Starting an independent enterprise is like doing the same except without assistance. Starting a franchise is an easier means to becoming an entrepreneur without taking on most risks other entrepreneurs experience.
I hope these few handy pointers will be of some use to you in finding a profitable franchise opportunity. - 15246
- Cost. Cost is an important factor not only in founding a business but in almost all else in life. When it comes to the expense of acquiring a franchise company it might appear a wee bit too expensive compared to starting your own business from scratch but you have to consider not only the short-term costs but the long-term ones as well. If you decide you can bear the cost and you can get more from the possibilities a franchise enterprise has to proffer then it is sensible to go the way of purchasing one, otherwise you kick off your own venture from scratch.
- Once you buy a franchise, you sell goods and services that are already recognised and are given training and support that helps you succeed in your company. However, not all concessions can be a guaranteed success. Buying a franchise permits you to operate a company and on coughing up a franchise fee of a few grand, you follow a format stipulated by the franchise seller and not your own.
- Buying a franchise may reduce investment risks as you are affiliated with an established company. This could be costly to you. There are some costs that you'll have to bear like the franchise fee which runs to several grand to several hundred grand and royalty payments to be made to the owner, which are usually fixed; a percentage of either your weekly or monthly gross income. Even if you have not earned a large amount through the business it will still be necessary to pay royalties without fail.
- Support. Different franchise vendors have their own forms of support so as to assist a new venture owner get his company off the ground. When beginning with a franchise find out what form of support the franchise seller offers and decide which franchisor offers more training and support benefits for the amount of money invested.
- A breach in the franchise contract may make you lose the right to the franchise. If the agreement is for a short time, then there is no guarantee of its renewal. The owner has the right to terminate the agreement if you fail to pay royalties or fail to follow the performance standards and sales restrictions set out in the agreement. And once the contract has ended, you lose out on your investment. A concession contract usually lasts for 15 to 20 years, after which the franchise vendor can decline any renewal of the agreement.
- Look for discounts that numerous franchisors have accumulated and look for additional benefits. Starting a franchise has the benefit of not starting from scratch because five percent of businesses succeed in the first five years while seventy-five percent of franchises succeed in their first five years.
- Conditions: You should review the exceptions and conditions associated with using the brand. Also ask whether the franchise seller owns copyrights or patents on the equipment you will be using or the products you will be vending.
- Expect to cough up a good deal more if you purchase a franchise since it has a brand name that will draw in clients. A lesser-known franchise might be cheaper but still costly. If you're low on money you can begin on the 'net and advertise on free advertising web sites. There is no mystical franchise and even if it's well known, it won't work without hard graft on your part. You will need your personal qualities and skills to make a good franchise shop bloom.
- Starting a franchise is like trying to ride a bike with help at hand. Starting an independent enterprise is like doing the same except without assistance. Starting a franchise is an easier means to becoming an entrepreneur without taking on most risks other entrepreneurs experience.
I hope these few handy pointers will be of some use to you in finding a profitable franchise opportunity. - 15246
About the Author:
About the author: Nicky Svengali is an author for finding a franchise and car insurance quotes internet sites in London in the UK.
