Are franchises better or worse for first-time business owners?
We get the question a lot, “Are franchises a good choice for first-time business owners?” and the answer is a resounding, “YES!" because they truly are fantastic.
Think about all of the challenges of starting your own business...that list is LONG. Just to name some of the big ones:
1. What's your product?
2. How are you going to market?
3. What's your marketing plan?
4. What's the overall business plan?
5. Who are in the competitive landscape?
6. What's your branding look like?
7. What's it "say" about you?
8. How are you going to scale?
9. Are you going to build a website yourself or pay someone to do that?
10. How do you set up communications like email, social media, phone numbers, signage, company cars, wraps on those cars, etc?
11. How long can this list be?
This isn't even scratching the service of what it takes to start a company from ground zero. Not even close. There's no one to call up if you're having questions about how to handle an angry client. No one is going to help you through doing your books, branding or distribution channels. You're on your own!!
Franchising an already established business is a WONDERFUL opportunity to learn the ropes first hand with structure and accountability. Someone is a phone call away if you need it. They have already gone through the "trial by fire" and have figured their way to the other side. In an ideal world, they have the website in hand, the branding locked down, the product perfected and they are looking for a partner they can teach it to and help grow the individual business.
Not every franchise is open to newbies and “learners” though! Our team is here to help you find those that are and want to take on that responsibility and care. There are some phenomenal businesses out there that look more for the person and their ability to succeed than their background and resume.
Yes, you pay the franchise for their "Intellectual Property" or what they learned over the years to build to where they are today. You are paying them to show you on paper in an item 19 that they are profitable and worth the investment. You're leapfrogging years of pain and suffering to build it yourself to get to profitability faster!!
At the end of the day, we can't guarantee you success with any business or franchise. No one can! But if you're looking to learn how to run a business from those that actually run a successful business and can prove it -- we suggest you really look at starting up a franchise location. It takes more upfront than starting a business from scratch but the learning curve and path to success are so very worth the money. Please reach out to us directly if you’d like to discuss the options for first-time business owners!!