Are you ready to utilize a proven system to become a business owner? Are you passionate about any chain stores or restaurants? If so, franchising may be the option for you.
There are many benefits that franchises have which traditional businesses do not. Here are a few:
1. Brand Awareness
A McDonald’s burger tastes the same in Florida as it does in Oregon. No matter what state you are in, you are guaranteed to know what to expect from your meal order. Many brands have been established for decades, and customers value this familiarity and uniformity.
2. Perfected System
As a franchisee, you sign an agreement to follow the system that has been perfected by the franchisor over years of operation. You must abide by the franchisor’s rules. Thus, you have the ease of utilizing a ready-made business model, operating system, equipment, etc. If you are great at following rules and abiding by a set system, then this will be a great perk that only franchising can offer.
Although buying a franchise may cost more money upfront than starting a new business altogether, most franchisors have already made relationships with lenders. With the franchise’s brand name accompanying your loan application, lenders might view your application a little bit more leniently. If you need help getting a franchise loan, visit Biz2Credit’s Franchise Loan page.
Advertising and p.r. can cost a bundle for a business that is just starting out. If you are a franchisee, you have the ease of a multi-million dollar advertising campaign that is already set in place. This is one less thing for you to worry about as a small business owner.
5. Equipment and Supplies
Many franchisors have negotiations with suppliers that allow them to buy in bulk and save some cash. These savings will then be passed down to you as the franchisee. Thus, you will probably spend less on equipment and supplies than you would as a new small business owner running a solo venture. Moreover, the franchisor will instruct you as to exactly what kind of equipment and supplies to purchase, so figuring out what to buy for your business would be one less thing on your to-do list.