To start your own business, you have several options to choose from, including buying a franchise or launching your own startup. Each option has its advantages and disadvantages, but you might find that buying a franchise is the best way to launch your business, especially if it’s your first time being an entrepreneur. Here are some of the many reasons why people choose to buy franchises as their first step in starting their own business.
Why buying a franchise is such a good way to get into business
Owning your own business has been a dream of many people, but it can seem like an intimidating prospect to enter into on your own. One way to avoid some of these initial challenges and difficulties associated with starting up in business on your own (and potentially save money) is to buy into a franchise opportunity. So why do so many people opt for franchise opportunities?
Why franchises are popular
Buying into a franchise opportunity means you’re purchasing more than just someone else’s business model; you’re also getting their established customer base, as well as everything that comes with it. A franchise company will take care of much of your administrative and back-office work—like payroll services, marketing and HR. They might also teach you how to improve your business model and lead classes on management strategies. As far as costs go, if you opt for an existing franchise opportunity, it’s usually necessary to make an initial investment up front, which can range from £15,000 to £200,000 depending on what kind of franchise you choose (there are different types out there). Of course every franchise is different so do your research!
1) High success rates
Even though there’s a high risk of failure with any startup, getting involved in franchising can reduce that risk and give you greater chances of success. When you purchase a franchise, you get all or most of your training and marketing taken care of by someone else. With lower startup costs and less risk, it’s no wonder so many people opt to buy into an existing company when they launch their own business.
2) Support network of franchisees
Like any other franchise, there’s an ongoing support network of fellow franchisees who can guide you along your journey. If you have questions or challenges regarding your business, they are only a phone call away. There are also opportunities to visit and learn from other franchisors and their successes as well as study best practices. This additional layer of support allows you to get more help than you would if you were on your own. It also means that you’ll learn how other businesses handle challenges and issues, providing invaluable insights into what it takes to succeed in today’s marketplace.
3) Support from your franchisor
If you’re thinking about starting your own business, consider becoming part of an existing network of independently owned businesses. Franchising offers business ownership opportunities without many of the risks that come with starting something from scratch. When you become part of a franchise, you receive guidance and expertise in areas like branding, marketing, financing and operations management. In return, you pay your franchisor an initial licensing fee as well as ongoing royalty fees based on revenue – usually 2-6% in total. You also gain access to systems that are already set up to ensure consistency and brand quality across all units throughout your state or region.
4) Freedom
Buying a franchise gives you greater flexibility and control over your work schedule and work environment than starting your own business. You can build equity in an established business, which gives you valuable investment options once you’ve reached your retirement goals. It’s easier to get financing if you buy a proven business model, and there are fewer regulatory hurdles that stand in your way. If franchising is an option for what you want to do, it can be an excellent choice. There are many successful franchises out there with excellent reputations for training, support and marketing. In fact, many of them have loyal client bases that love doing business with them—and won’t shop anywhere else.
5) You can become your own boss with less risk
For many, owning your own business can be more lucrative than working for someone else. In fact, some estimate that 20% of small businesses in the UK fail within their first five years. However, if you buy into an established brand name or system, your risk of failure drops significantly because you’ll have access to corporate resources and support. That doesn’t mean it’s easy; growing a business takes time and patience—but it does make success more likely. You’ll also have access to training and marketing materials that will help ensure you stay on top of trends and technology. There are risks associated with franchises, but smart research helps mitigate them.
Where can you find franchises for sale?
Franchises for sale can be found at franchise directory pages such as https://www.franchise-uk.co.uk/ or https://businesses-for-sale-uk.co.uk/. To search for franchises, use filters such as industry type, location and franchise cost to find exactly what you’re looking for. These websites allow you to find the perfect franchise for you and one that fits your goals and specific needs.
Conclusion
Because it’s so easy to get going, franchises are an excellent entry-level business opportunity for those who are just starting out. They provide you with training and established brands, saving you time and money that would otherwise be spent on researching whether your business idea has potential. If there’s one thing we should all have learned by now, it’s that timing is everything. Whether you feel like it or not, there will come a day when you’ll need to rely on others—from lawyers to bankers to your local plumber—to help move things along. By creating relationships now, before you really need them, you can save yourself time and money later down the road when all of these third parties become vital cogs in your wheel of success.
