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| Franchise Opportunity Specialist 13140 Coit Rd. Suite 211 Dallas, TX 75240 972-786-0017 Email Us |
Franchise Articles
1. The franchisor makes all the money
This is a common misconception. Yes, Franchisors do charge an up front franchise fee. Yes,
they also charge an ongoing royalty payment. But most of this money is invested in you, your
training, and brand awareness nationally and in your market. The franchise fee you pay gives you
the right to the Franchisor’s system. They train you in all aspects of their business. The ongoing
royalty payments are used for advertising and to keep the brand in the public eye. It is in the best
interest of the Franchisor to make sure that Franchisees are profitable and happy. If Franchisees
are unhappy, it will be very hard for the Franchisor to sell more franchise territories.
2. Franchise businesses are too expensive
Aside from the initial franchise fee (which provides you with thorough training on all aspects of
the business you are buying), franchised businesses cost the same to start as independent
businesses. This is where your research comes in. Choose a franchise model that you can
afford. They range from a couple thousand dollars up to a half million or more depending on the
type of franchise and the industry.
3. I can’t wait 2-3 years to make money
You may not have to wait 2-3 years to make money. Research – Research – Research. When
you are deciding which franchise you want to purchase, call existing franchisees…ask them if
they are profitable and if so, how long it took them to start making money.
4. I am not interested in auto or food
Great! You don’t have to be interested in auto or food to find a right fit in franchising. There are
over 5,000 franchise opportunities in 80 different industries. There are thousands of franchise
opportunities that have absolutely nothing to do with auto or food.
5. I don’t want to work 24/7
Again, this comes down to research! You need to thoroughly understand what you are getting
into before you purchase a franchise. Ask existing franchisees how many hours they work now
and how many hours they worked when they first opened the business. Starting a franchise or
any business is hard work. You need to be prepared to work long hours (at least in the
beginning) to establish your franchise.
6. The market is already saturated
Do your research! With all the different franchise opportunities available, carefully research
which ones you think would be successful in your area. What types of retail or services are
missing in the area around you?
7. I don’t want to buy myself a job
Buying a job is usually not the goal of franchise buyers. Sure, you will have to work in the
business at least in the beginning. As your business grows and becomes profitable, you can
slowly step back and put managers in your place. There are also other opportunities in
franchising like Area Developer or Master Franchise opportunities that allow you to build your
own local empire of franchisees and create residual income for yourself.
This is a common misconception. Yes, Franchisors do charge an up front franchise fee. Yes,
they also charge an ongoing royalty payment. But most of this money is invested in you, your
training, and brand awareness nationally and in your market. The franchise fee you pay gives you
the right to the Franchisor’s system. They train you in all aspects of their business. The ongoing
royalty payments are used for advertising and to keep the brand in the public eye. It is in the best
interest of the Franchisor to make sure that Franchisees are profitable and happy. If Franchisees
are unhappy, it will be very hard for the Franchisor to sell more franchise territories.
2. Franchise businesses are too expensive
Aside from the initial franchise fee (which provides you with thorough training on all aspects of
the business you are buying), franchised businesses cost the same to start as independent
businesses. This is where your research comes in. Choose a franchise model that you can
afford. They range from a couple thousand dollars up to a half million or more depending on the
type of franchise and the industry.
3. I can’t wait 2-3 years to make money
You may not have to wait 2-3 years to make money. Research – Research – Research. When
you are deciding which franchise you want to purchase, call existing franchisees…ask them if
they are profitable and if so, how long it took them to start making money.
4. I am not interested in auto or food
Great! You don’t have to be interested in auto or food to find a right fit in franchising. There are
over 5,000 franchise opportunities in 80 different industries. There are thousands of franchise
opportunities that have absolutely nothing to do with auto or food.
5. I don’t want to work 24/7
Again, this comes down to research! You need to thoroughly understand what you are getting
into before you purchase a franchise. Ask existing franchisees how many hours they work now
and how many hours they worked when they first opened the business. Starting a franchise or
any business is hard work. You need to be prepared to work long hours (at least in the
beginning) to establish your franchise.
6. The market is already saturated
Do your research! With all the different franchise opportunities available, carefully research
which ones you think would be successful in your area. What types of retail or services are
missing in the area around you?
7. I don’t want to buy myself a job
Buying a job is usually not the goal of franchise buyers. Sure, you will have to work in the
business at least in the beginning. As your business grows and becomes profitable, you can
slowly step back and put managers in your place. There are also other opportunities in
franchising like Area Developer or Master Franchise opportunities that allow you to build your
own local empire of franchisees and create residual income for yourself.