Purchasing a franchise is not the right move for everyone. While many see it as an easy way to start your first business, in some ways it can be far more complicated than starting something independently.
First and foremost, you are giving up a massive chunk of freedom if you go the franchise route. While each franchise varies, some can have rules you may find stifling.
That aside, there are plenty of advantages, such as benefiting from an established name and having things such as marketing materials and training materials given to you. Franchising also reduces your need to deal with multiple suppliers to get the goods you sell.
Someone willing to toe the line
Many want to start their own business to escape the corporate culture they are currently working in. A franchise requires you to submit to many decisions you might not agree with. Remember, the franchisor is concerned about their corporate image, so it is unlikely to let you do anything it thinks might jeopardize that.
Someone with business savvy
While the franchisor takes some of the work out of running a business, there is still much you need to handle. It is not an easy ride; you will face the same accounting and personnel headaches that any small business owner has to deal with.
Someone who likes the brand
You might not need to love the brand if you can appreciate it for the financial opportunity it provides. Yet, it will be easier for you to work with a franchise that aligns with your values. Remember, the aim is to sell products or services. Customers and staff are much more likely to buy into your dream if they see it is something you care about.
There are many legal issues to understand when buying and operating a franchise. Hiring someone who understands those details reduces the chance you encounter problems because you misunderstood your contract.
NOTICE: This blog is intended solely for informational purposes and should not be construed as providing legal advice. Please feel free to contact us with any questions you may have regarding this blog post.