culled from:mybusinessideas.com
A 2012 survey found that just 19 percent of workers – less than one in five – are happy with their careers. Another study said a majority of us would like to work for ourselves – but as most of us understand, self-employment can be a risky move. Would a franchise be the first step to freedom and wealth? Let’s look at the pros and cons of starting a franchise business to shed some light on the decision.
Franchise Benefits
Starting a business from scratch usually requires a long ramp-up period, which can not only drain your financial resources, but it can also lead to financial ruin. In fact, a failed business venture is one of the leading causes of bankruptcy.
Franchises in general prove to be winners. The public knows franchises and you can hit the ground running with a brand customers already trust. That means instant cash flow and often immediate profits.
Other undeniable advantages:
Marketing
Creating and implementing a successful marketing plan is the single most crucial aspect of running any business. In order to get customers, you first have to reach out to them through marketing. With a franchise, marketing is handled for you, often by national advertising campaigns that institutionalize the company. Name recognition comes the moment the sign goes up on your business.
Management Plans
Most franchises have well-established management plans, similar to a company handbook. You mostly have to follow the plan. And since it’s worked at hundreds of outlets around the country, it will work for you also. They’ll provide you with hours upon hours of training, as well as continuing education. Periodic coaching is often available as new business practices develop.
Owning Multiple Franchises
Did you ever see the movie The Blind Side? When Michael asks what the dad does to make money, the young son, SJ, replies “We own like a million Taco Bell’s.” OK, that was an exaggeration, but the Tuohey family is real, and they do own enough franchise outlets (85 to be exact) to live a very comfortable lifestyle. Once you own and operate one outlet, you can scale up by adding additional ones as finances permit.
