Are you feeling that itch that 2020 is YOUR YEAR for positive changes in your life? Perhaps starting a business is part of that equation sticking in the back of your mind, but what business? As you start weighing your options, it doesn’t take but a minute to realize that there are more questions than answers. When considering investing in a franchise over starting a business from scratch, here are some distinct advantages of franchise investment.
1. Stable foundation
Franchises bring you a stable foundation from the very beginning. One of the top benefits of investing in a franchise is that the brand, customer base, future outlook, and marketing initiatives are already active. These are also the top concerns for those who start their business from scratch and can take years to accomplish. Talk about a great head start!
2. Outlined path to success
One of the most significant advantages of investing in a franchise is that all of the processes are perfected with the idea that any new franchisee should realize the same success by following the path laid out for them. Business reports and Key Performance Indicators (KPI) provide the information needed to make informed business decisions.
3. Easier to get financing
Small business loans can be challenging to obtain with startup businesses, but franchises are a different story. The stable foundation and proven success of a franchise are more attractive to lenders than a good idea and great intentions. Lenders have higher confidence in franchises, and franchisees are 28% less likely to list cash flow as a significant operational challenge.
4. No experience necessary
An essential advantage of investing in a franchise is the level of training provided by the franchisor to ensure a successful launch. Some franchisors may bring their new franchisees on-site for intense training, while others bring a training team to the new franchise location.
5. Ongoing support
In addition to start-up training, you can count on ongoing support from the franchise to ensure your success. They maintain a vested interest in your success as a component of their continued growth.
6. Minimized risk
From the recognized brand and customer base from the start to complete training in every aspect of the business and ongoing support, your risk is minimal with a franchise investment. When opening a startup from scratch, bumps, changes, and associated unexpected costs are likely as you learn lessons along the way.
7. Collective bargaining
Another great advantage of investing in a franchise is the power of collective bargaining. The franchise bargains with pricing for all franchises as a single purchase that works to everyone’s benefit. This extended volume drives down costs for all franchisees and guarantees quality consistency across the board.
8. Complimentary franchise consultant
The final benefit for investing in a franchise is a concierge through the entire process at no additional cost to the franchisee. Hundred Acre Consulting is a full-service, certified franchise consulting and referral firm serving the US and Canada, with a portfolio of over 500 Franchises available in 21 Industries. Our mission is to build community and economic growth by helping families and individuals realize their dreams through business ownership. If you see 2020 as YOUR year for franchise aspirations, let’s talk today – there’s no time to waste!