Does A Franchise Meet Your Needs?

Do you look forward to Friday afternoon or Monday morning? Perhaps that's the true litmus test of happiness. If you're thinking about the fact that there's only one day to go before the weekend, when you just got back from lunch on Wednesday, it may be time for a change. Maybe your day-to-day activities simply aren't all that fulfilling. Maybe you're in a rut, and it feels like you have to crawl up the side of the Chrysler building to get out.

In the franchise system, there are two roles: franchisee and franchisor. The two work together to create and expand a successful business concept. So what role does each play in relation to the other?

The Franchisor
The Franchisor has built a successful business system and is willing to sell you the right to use that system, and all that goes with it, to begin your own business.... more



Are You A Potential Franchisee?
Posted by: Admin Post on July 29, 2009
Author: The Franchise Guide

Because a franchise system is a symbiotic relationship, franchisors spend as much time studying you as you researching about them.  Yes you may bring in added income and aid the expansion plans of the company but if you end up not equal to the tasks of managing their company’s name, you may do them more harm than good.

Franchising has become one of the most important and effective business growth strategies in the past quarter century. Although franchise system development dates back centuries to the times when monarchs awarded territories to tax collectors, current franchise business systems date back decades to the Singer Sewing Machine strategy of granting rights to individual business people to sell Singer products in various regions.

Did you know that 97% of all franchises opened during the past 5 years are still open? Compare that to the fact that less than 50% of non-franchised businesses are still open after the same timeframe. Why are franchises so successful?

Franchises are successful because they have created a time-tested and well-developed system for running a business. This system takes into account all aspects of running a successful franchise, and nothing is left to chance. ... more



The Perfect Fit: Women & Franchising
Posted by: Admin Post on July 27, 2009
Author: Darcie Harris

An interesting combination of factors at this time in history may be the reason so many women are turning to franchising to fulfill their entrepreneurial desires. Women’s increased financial power, better education, and corporate experience, combined with their desire for more autonomy and desire to connect with others who share their values make franchising a great fit for many women.

In the early 1900's, Reverend Russell Conwell -- founder of Temple University -- gave a popular speech called "Acres of Diamonds." In it, he said: "Your diamonds are not in far distant mountains or in yonder seas. They are in your own backyard if you but dig for them."

Whether you are a business owner, marketing professional, or other entrepreneur, it is crucial to remember your backyard diamonds are your past and present satisfied customers.

At an International Franchising Symposium in London, Peter Holt made the bold statement to his audience of Franchisors that they needed to understand that their business would fail, and in fact all businesses are bound for failure. Needless to say, there were a few shocked faces in the crowd. He was making the point that it really is just a matter of the number of calendar flips before time strangles any business.

Kentucky Fried Chicken (KFC) is a very well known restaurant in the world. It is rated at number 60 as the world’s most well known brand by BusinessWeek (McDonalds at number 9 and Nescafe, 23).

Its history spans almost 80 years when it started at Corbin (Kentucky-USA), in the 1930s. During this period the United States was under The Great Depression with almost 25% unemployment rate.

When the economy is in the doldrums you may start to wander about your prospects of buying a franchise in a recession.  It is often prompted by the fact that job opportunities are hard to come by and you need to do something. Thus, an idea comes up to turn to franchising.

Three are a number of reasons to consider buying a franchise in a recession:

Finding The Right Franchise

Whether it's hamburgers, pizza, telecom, coffee, Internet, muffler parts, or seniors' services, there are Franchise opportunities available to evaluate. There are great Franchise systems, good Franchise systems, and bad Franchise systems. The challenge is to ask the right questions to find the right system that will fit your goals and dreams.

Franchising commands a staggering 43% of the nation’s total retail sales and service dollars. It is an employment engine on fire, and produces wealth right through economic decline. You don’t need an MBA to succeed, and everyone is in it together to win. Franchising is the profitable muscle machine that plows through challenge and persistently produces success. And, it consistently achieves record growth across the nation and around the world.

A wise investor, whether he puts money in the stock market or real estate or even collectible figurines, always considers the return he can expect on his investment. This should also be true of Franchise investments. Those investigating Franchise Opportunities should look carefully at the company’s potential ROI. However, since a franchise purchase involves investments of both time and money, you should expect more than you would from a passive investment.

To improve your probability of success, you must take the time to evaluate yourself, your strengths and weaknesses, and, most importantly, the franchisor and the industry in which it operates.

The "fit" is critical. Square pegs in round holes are seldom highly successful--and often fail. Continue to study and learn but gain the strength to be decisive. Don't let a great opportunity pass you by because of fear or indecision.

When you think of becoming a businessperson by making the transition from employee to Franchisee, you don’t generally think in terms of emotional fulfillment. However, in reality, the evaluation of emotional factors should play a significant role in making that final decision to join the world of the capitalist, or remain in the realm of employee.

If you are interested in buying a franchise, it may behoove you to do so through a franchise broker. You should also consider utilizing the advice of a professional franchise consultant.

So, What Exactly is a Franchise Broker?

A franchise broker is simply someone who acts as a liaison between franchisors and franchisees. He gets the two parties together and has the sale of a franchise as his ultimate goal.