| The experts say that owning/operating a franchise will | | | | time hours in a productive capacity then you will see |
| multiply the chances of long term success in business | | | | more profit but you are sacrificing your time to do so. |
| 10 fold. Is this true? It most certainly is. Why? There are | | | | The answer to this question will largely determine the |
| many, many reasons that franchises are more | | | | amount of leverage you can apply to your business. |
| successful. The only goal of this article is to provide | | | | That leads us to question four. |
| some knowledge that I gained while researching | | | | 4) How much immediate & long term income is |
| different franchises myself. | | | | required? |
| So you have decided that owning a business is | | | | This question helps to think down the road to a time |
| something you definitely want to do. I commend you | | | | when you have proven that you can have success. Is |
| for this. Statistics show that 4 out of 5 millionaires own | | | | one franchise enough to meet your income |
| there own business. The real question is, can you do | | | | requirements? The answer to question 3 comes into |
| it? Franchising definitely increases your chances. | | | | play here. It is physically impossible to be in two places |
| How do you know if franchising is right for you? Here | | | | at once. If multiple franchises are necessary to meet |
| are some basic questions to ask yourself. Are you | | | | your income goals then you will need to bring |
| comfortable with failure? Are you a risk taker? Do you | | | | management skills to the table. This is something that |
| have years to wait before you earn money? Do you | | | | many people just can't bring themselves to do. Putting |
| have huge amounts of start up capital? Are you | | | | others in charge of your families financial security can |
| creative and business minded? | | | | be a deal breaker. |
| If your answers to any or all of the preceding are NO | | | | 5) Where is the best LOCATION for my franchise? |
| then franchising could be the direction you want to go | | | | Location, Location, Location. We have all heard this |
| in. Once you are set on a Franchise, there are 5 major | | | | before. It is never more true than when deciding where |
| criteria that you should look at when deciding which | | | | to put our franchise. Multiple locations may need to be |
| Franchise is right for you. | | | | thought about when choosing the first location due to |
| Top 5 criteria when choosing a Franchise | | | | the possible territorial restrictions your Franchisor may |
| 1) What industry is right for me? | | | | have in place. This is so important. It will be the single |
| Franchises encompass almost any industry you can | | | | most deciding factor whether you succeed or fail. |
| think of. Food service, Packing/Shipping, Automotive | | | | Facility costs vary widely based on class of space, |
| services, Clothing, Cleaning, Apparel, Shoes, | | | | traffic counts and many other factors. The analysis |
| Convenience, Cosmetic, Hair care, Collectibles, Books, | | | | should be thorough. Don't settle for an inferior location |
| Education, Health & Wellness, Fitness, Dental, Etc.... | | | | unless you are absolutely sure the savings will |
| On and on the list goes. There are so many franchises | | | | outweigh the difference in revenue your franchise will |
| to choose from that this MUST be the first question | | | | realize. |
| that you answer for yourself. If your not passionate | | | | So that's it, my top 5 criteria when choosing a |
| about the industry you choose, your setting yourself up | | | | franchise. Obviously there are many, many more |
| for failure. | | | | questions to be asked and answered. In fact there is a |
| 2) How much startup capital do I have? | | | | list of questions that could be put together for each of |
| Franchises come in all shapes and sizes. Some have | | | | the top five listed here. As someone who has been |
| large up front costs and others charge less up front | | | | through the process, my advise is simple. Be very |
| but get a bigger portion of the ongoing sales that your | | | | thorough in your research, ask lots of questions, don't |
| business does. The more you have to start with the | | | | get pushed around by anyone and interview no less |
| more options you have. Some franchises have out of | | | | than three current franchise owners to get there |
| pocket startup capital requirements as low as $1,000 | | | | perspectives before you make your decision. |
| while others will look to see $100,000's before they will | | | | It is proven that the franchise concept is one that has |
| consider you as a candidate. This information is easy | | | | stood the test of time. If you are certain you want to |
| to obtain. | | | | be in business for yourself and can put up with not |
| 3) Am I willing to operate my franchise myself? | | | | making all the strategic decisions yourself, a franchise |
| The who and how answers when it comes to daily | | | | just might be the perfect business model for your |
| operation of your franchise are very important. This will | | | | success. Again, without a passion for what you are |
| have a very large impact on the profit margin you can | | | | doing, success is not probable with or without a |
| realize with your franchise. If you are willing to put in full | | | | franchise. |