5 Benefits To Buying A Franchise
February 20, 2019
You’re an entrepreneur at heart, and have longed to own your own business one day. If you’ve decided that day is finally here, you may find yourself in an internal debate between starting an independent business or buying a franchise in your quest to make the next step. We’re here to shed some light!
Both options certainly provide the undeniable pride and hard work of being a business owner, but there are certainly some reasons that many people opt for the franchise path. According to the International Franchise Association, there are over 780,000 franchise establishments in operation, meaning many entrepreneurs have been exposed to the benefits of, and ultimately selected, franchising as their path to realizing their dreams.
Franchise Ownership vs. Small Business Ownership
Before we go too much further, let’s start with the basics – what is the difference between a small business and a franchise anyway? In both cases, you’re a business owner selling products or services, hiring employees as needed, marketing your product or service, generating sales, etc.. But a major benefit of the franchising model is that you’re not developing your concept from scratch. You’re buying into a business model developed by someone else (the franchisor) who already owns the brand and established the operational systems. And as a franchisee, you pay the franchisor a royalty fee (typically a percentage of your revenue) for use of the brand, their support, and the resources provided to you to run your local business. To sum it up, all franchises are businesses, but not all businesses are franchises.
Make sense? With that clear, let’s take a look at why so many people choose franchising as their preferred method of business ownership.
5 Key Benefits to Buying a Franchise
#1: Be in business for yourself, but not by yourself.
If you’ve done any research about franchising already, you have likely heard this phrase a few times, but it’s such an important aspect of choosing a franchise business! Becoming your own boss and starting a business means exploring some uncharted territory for yourself, and that can be overwhelming and honestly, a bit scary. Not in a franchise system! As part of a franchise, you are partnered up with a corporate team that typically offers a staff of experienced marketing, operations, and finance professionals. You can expect to be armed with a business coach to guide, mentor, teach and push you throughout the life of your business. Don’t’ get us wrong, you still have to work hard, but you don’t have to know it all from day one – and you’re certainly not alone.
#2: The brand development work is already done – you are already one step ahead of independent business owners!
This is a major benefit that should not be taken lightly! One of the greatest advantages of being a franchisee is that you’re buying into an established brand – one that already has market awareness and a good reputation (assuming you are choosing wisely). So, if you’re not one of those creative “left brain” people, don’t worry, that hard work has already been done for you. You don’t have to worry about hiring an expensive advertising agency, choosing a brand name (that isn’t already trademarked), developing an eye-catching logo, or picking the perfect color palette (should you go with the color of money or a power red?). Why? Because it’s already done and most importantly, paid for by the franchisor. You just saved a ton of money that you can instead put toward marketing that eye-catching brand!
#3: Become part of an extended family (that you have more in common with than those weird, distant cousins you barely talk to).
We can’t choose our family – but in this case, you can choose your franchise family! If you find a franchise system that aligns with your values and exhibits a culture you just can’t get enough of, you’ll find yourself surrounded with an extended family of like-minded business owners. Many franchisees name the networking aspect as one of the best attributes of franchising. Whether you have a question, need advice, want to celebrate a small victory or need to blow off some steam with someone who can relate, you have the option of simply picking up the phone and calling a fellow franchisee. Before you know it, you’ll have friends in practically every state across the country!
#4: You’ve already got (a lot of) the answers!
Another reason franchising is such a good idea is that you’re buying into an idea and model that has already been fleshed out. Save the time an independent business owner would have to put toward finding the right CRM, email and accounting software systems and building relationships with key vendors. Not to mention saving time of not having to develop your own employee training programs. Instead, start armed with great resources for training, marketing and tracking those key performance indicators for your business and benefit from the buying power and already established relationships with vendor partners. No need to start at the drawing board. With thought out systems already in place, you will be ready to open your doors and start generating revenue faster. In fact, many of the issues a new business owner would typically face have been ironed out many times over through the experience of your franchisor and fellow franchisees, saving you time and minimizing risk!
#5: The options are endless!
There are SO many business options when considering franchise opportunities and determining which is the best franchise opportunity for you. No matter your investment level, your passions, your geographic location – with the right amount of dedicated research you are sure to find a good fit. Restaurants can be an exciting endeavor for many self-proclaimed foodies, but they tend to come at a higher price tag with razor thin margins. Are you passionate about health and nutrition? Maybe a massage or fitness franchise sounds appealing. If you want some time off throughout the year, a seasonal business could be a great fit, while a year-round business model is ideal for those looking for more consistent revenue month to month. You get the idea, something for everyone.
To recap the benefits, with franchise ownership you don’t have to start from square one with your business, so you can get off the ground and grow faster than many independent business owners. While there are certain expenses an independent may not incur (i.e. royalty fees), these are countered by the support, experience and buying power of being part of a larger brand. It’s very important to do your due diligence in exploring franchise opportunities so that you can find the concept that makes you excited to get up and go to work in the morning. Now get exploring!
Why not give the Home Clean Heroes franchise opportunity some consideration? A fresh take on the house cleaning industry, Home Clean Heroes is setting a new standard for excellent service in a $6 billion industry. Want to chat with us directly? Shoot us a note at firstname.lastname@example.org or give us a call at 844-949-4376.