As bloggers and entrepreneurs, we often get ideas all the time about how we can make money or even have a business or franchise of our own. Have you ever dreamed of owning a McDonald’s? What about a Supercuts? Or, maybe an Anytime Fitness? These opportunities arise when buying into a franchise.
Franchise profits range from a respectable $50k to six-figures!
A franchise offers a turnkey solution backed by a well-known brand. This creates an income-generating asset from its launch. Franchises are the perfect opportunity to become your own boss while risking little.
What are the other, exciting reasons why many get into franchises? Keep reading and you’ll not only know… you’ll want to invest!
Why Own a Franchise: Benefits of Buying into a Franchise
Some of us have fantastic business ideas but lack the finesse to launch. Others invest looking for sure things. Whatever brought you asking “why own a franchise?” — you’re here, with questions.
There are an estimated 750k+ franchise opportunities in the United States. This creates a conundrum of figuring out the what, why, and how.
Here’s what you should know:
1. Systemization and Scale
A franchise offers a system — a business-in-a-box in most regards. This means you’re buying into a proven structure eliminating guesswork. You tap into the suppliers, brand, and management process versus creating them on your own.
You gain these with a franchise:
- Business plan
- Ad/marketing plan
- Support & leadership
With these taken care of, your hard decisions become location and hiring.
2. Branding
Great products and service don’t guarantee success in a hyper-competitive market. 82% of shoppers are loyal to product brands. This, along with years of challenging growth, makes market penetration difficult.
Why buy a franchise? For its branding!
A well-known brand already carries expectations and a customer base. Your franchise receives instant recognition the moment it opens. Plus, the franchise spends big bucks on nationwide marketing campaigns on your behalf.
3. Financial Help
Try pitching banks a business plan and see how well that goes. You’ll likely get turned down by banks unless you have leverage and assets. A franchise, in contrast, shows a lower risk making banks open to financing.
In-house financing options are also available with some franchises.
4. Support
What happens when you launch a business in town? The competition tends to gang up since they feel threatened. Your competition becomes the enemy and some even play dirty, hoping you fail.
Compare this to getting into a franchise.
A franchise community is inclusive, offering help and support to newcomers. The franchise provides help, letting you learn through their data and knowledge pool. But, you’ll also find allies with fellow franchisees.
You’ll also find passionate business-minded professionals providing insights and inspiration. The Franchise.org forum is a great community, the Ceterus podcast is excellent, too. This podcast brings on franchise owners sharing their success and guidance.
5. Exit Strategy and Legacy
A profitable franchise is profitable but one day you’ll seek retirement. A franchise holds value providing an exit strategy for when you’re ready to leave. The built-in support gives the next-in-line an immediate foothold in the biz.
You could sell the franchise for a profit when exiting. Or, decide to pass it down to a family member. A franchise creates a legacy.
750,000+ Franchises and Counting: Will Yours Be One?
It’s mind-boggling the options you have when buying into a franchise, let along how you can start promoting it online through blogging, social media and direct advertising. The opportunities are near-limitless!
Now knowing the reasons to buy a franchise… is this something you care to try?
Owning one is a great way to jump head-first into self-employment and entrepreneurship. There are risks and challenges, no doubt. Get a leg up, read our launch strategies for more guidance when exploring franchise ideas.