Haven’t you at least at one point of your life dreamt about starting your own business, being your own boss, and building up your utterly successful company from scratch? In fact, most business orientated people play with the idea of buying into a franchise. Franchises offer an ideal business model as you work for yourself, BUT not by yourself!
Buying into a recognized brand will give your business a head start. So you can skip the difficult and lengthy time of building up a trusted brand and jump straight into the lucrative franchise business. Obviously, starting up your own business sounds really attractive and exciting, but experienced entrepreneurs know just too well how hard it can be to run a business without a supporting network. However, don’t take it too easy on running a franchise as it still requires a great deal of business acumen, patience and determination. The bright side is though that you’re are being part of something bigger, and often, better.
Hence, why is 2012 the best time to buy a franchise? Here are 5 powerful reasons:
1. It’s a Buyer’s Market
Franchisors will do anything to keep their business competitive for customers and hitting the growth targets. Therefore, they will make the franchising opportunity as affordable and attractive as it can be, in order to get people involved. Some reduce the initial cost of purchase, or offer specific on going incentives, such as refunds on the first year’s advertising/ reduction in operating cost and fees. And as you read the title before – the franchise market is and will be a buyer’s market.
2. Personal Future
The economy is currently on the rise again, but people still moan and complain about their job insecurity. As you can see though, this factor is very important at all levels of the career ladder. However you will also see that many mid-level managers will struggle to keep their position in the long term as the competition is really high.
So if you have the actual ‘guts’ and skills required, why don’t you focus on securing your on future and creating your own job security. Many people use their redundancy money or team up with ex-colleagues to buy a franchise. Hence, what better way to choose a business partner than by picking somebody you have worked with? BUT watch out – just people you can entirely trust and work with, because you don’t want to get into stupid misunderstandings or disputes mid-way.
3. Properties on Sale
You might have experienced or seen the huge problems with open properties. Several years ago landlords never struggled to fill the properties, but the last few years have been hard for them. Empty places, which results automatically in low or no return of investment at all. Hence, commercial property owners are much easier to negotiate and willing to take on lower paying tenants. In the end it is a buyer’s market and franchise owners have the best pick of the bunch, when it comes to choosing a business premises.
4. Raising funds much easier
The government is focused on boosting the economy and creating jobs by encouraging banks to provide funding for the people, who are willing to ‘make a move’ and help start rolling the economy. Moreover, franchising is widely considered to be the safer option than starting a business from scratch as for instance the bank will be by far easier to offer a loan to you.
Certainly you will be expected to have a slight understanding of your industry and market, but banks will be far happier to support you with a loan for a trusted or well-known franchise than a new brand / business concept.
5. Huge pool of talents
Recession has hit hard on the job sector the last few years and this was one of the reasons why highly qualified employees had to be fired during this period. However, there is a great pool of talents out there, who want to get back to work as soon as possible. This will result in a decrease of cost and time on managing recruitment campaigns for you. Moreover, it will be easier for you to find the right people for the right job.
Daniel studied Retailing & Business Management allowing him to get a close-up understanding of franchising in general. He is now a franchising consultant for Franchise Sales.