In 2019, over 700,000 franchise businesses were running in the United States. Despite this large number populating the industry, it remains one of the most popular avenues of business that people are still getting into. Dive into some reasons why that is the case.
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Accessibility
In financing and resources to find a good partnership, franchising has become much more accessible for those looking to invest in a new business. These days, getting a popular submarine sandwich franchise costs as low as 300,000 USD.
With that detail, you take into account liquid capital, location, rent, supplies, and staff training. This makes it much more feasible for franchisees to make an investment that they can be more comfortable with, knowing that it hits a solid budget and has the functions and necessities to start up a business successfully.
It’s also not difficult to find a perfect brand to reach out to that franchises, because the World Wide Web has become such a handy platform that hosts many reputable operations that cover a ton of locations. With this, there is even less of a barrier for those who want to reach out and explore their options to find the perfect fit and find the necessary info they need.
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Recognizability
Part of the risk of opening a business is establishing a customer base in time to get profits and a return of investment. With franchising, that risk is significantly lessened because new owners can hop on to an established brand that has likely amassed a following and gained its own credibility.
It not only gives the edge of having consumer trust but also helps franchisees in securing locations and figuring out their own marketing tactics as there is a larger umbrella to fall under and a brand voice that can be followed and patterned after. Since it is established, it not only connects to a more extensive network but also brings a sense of stability from the launch as opposed to a business that starts from scratch. That also covers operations and management as there are systems in place to guide each franchisee.
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Flexibility
Even though running one franchise branch is enough work in itself, this model also allows a relatively easier route to expansion in case you eventually want to grow and reach other locations. Of course, this doesn’t mean that it is simple and without its challenges. There are still factors to handle and smoothen out.
However, after ironing out the kinks and establishing your branch well, franchising allows a more flexible business model that can afford you more freedom than other career paths or business endeavors. It also gives you more leeway in terms of having the credibility to branch out and explore which areas and financial plans work best for yours.
Getting a franchise is a lot of work that takes time and effort to successfully run. Still, it is inevitably one of the best and surefire ways to have a business that you can earn from and be proud of.
