The major questions to ask is: Why Should the Entrepreneur Buy a Franchise? Buying a franchise can be a wise investment if you decide on the right franchise that fits you the best.
Buying a franchise business offers higher chances for success. You get the benefit of having a proven business system that has been tested and determined to perform well in other locations. In addition you receive the help from the main franchisor in starting the enterprise, and the grounding to operate the franchise successfully.
A very considerable influence is that you are acquiring an established name and brand that is known by the public. So you have a big help from starting an enterprise from scratch, as well as having a proven customer base.
While a franchise offers more security from takeoff, new independent companies are well-known to have as high as a 90% failure rate, often causing the business owner heavy losses and at times bankruptcy.
When launching a business from scratch, the entrepreneur consumes huge amounts of time trying to manage the business, often without being prosperous because possibly not having all the fundamental skills for that particular business. On the other hand when you pay for a franchise, all the necessary groundwork has been done already.
With buying a franchise, your goal will be to grow from an proved foundation and expand from there. All the product choices and the marketing have been already grown, leaving you with taking care of the daily functions of the business.
The new franchise owner gains many benefits from the cooperation with the head franchise company. The franchisor offers a large amount of business knowledge that would take years for the typical business person starting a new establishment on their own. And it’s all in the proper balance from management, marketing, and operations.
The franchisee gives from their side the needed entrepreneurial vitality and bottom-line drive to make the franchise an exponential success.
Unless an entrepreneur has a very exclusive method for a new business or product which is not accessible with the many types of franchises available, buying a franchise can offer a more satisfactory foundation to start with.
You’ll have a higher chance of succeeding with an already-established formula of an existing franchise, than you are by spending the time, effort and money to start a brand new business.
Franchises For Sale Free Webinar The VR Business Sales Mergers & Acquisitions Franchise offers a Professional Business Franchise to Entrepreneurs the opportunity to succeed in the challenging field of Business Sales and Mergers and Acquisitions. For more information call Eddy Dominguez at 800-377-8722 or view Articles by JoAnn Lombardi Pres. of VR Business Sales