Franchises, which are a way of recreating a successful brick and mortar business to a new location. Last time I walked through a popular shopping mall it seemed all the stores were either branches or franchises. At first glance, franchises are a perfect self-employment solution. The franchisor does a feasibility study, approves the store location, kits it out, trains the staff, supplies the raw materials / stock, and quality controls the process.
The Franchise model has systems in place to recreate a successful business.
Look at McDonalds for example. Their systems are so tested and refined that the entire place can be run by high school kids. The result, the same burger is created anywhere you go, and if you like the burger you can come to rely on that.
The bottom line is if you want to open a business in the high street and succeed, it had better be a franchise:
My two friends bought a franchise for a pile of money they had to borrow and pay back. We were so excited the day the doors opened six years ago. I will not mention names but it has a lot to do with chicken. Their takeout took a while to ramp. Within two years, they started making drawings. After four, they were finally able to afford a holiday.
Disaster struck in year five when they discovered (or rather forgot) they were due for an upgrade. It was a case of do it or lose it. The franchisor had tweaked the brand and they had to close for two weeks and rip out the shop fittings. This cost was all the money they had managed to save for a house.
The biggest problem with the franchise
The main issue with a franchise business is how much money you have to risk and tie up.
If you want to open a popular franchise you are looking at upwards of a million dollars and depending on the franchise it could be required that you don’t borrow that money. Even some of the smaller vendor style franchise businesses you are looking near $20,000 US.
This unfortunately takes the majority of us regular folk out of the game.
What if there was a way to get the same repeatable proven systems of the franchise model without the investment?
There are many work-from-home business models with minimal set up costs and affordable license fees. Profits are generally excellent to good. You could work less hours, or work hard and make twice as much as a franchise. These innovations are powered by technology and business models that work outside brick and mortar. Without the high cost of brick and mortar business this opens up the door for innovative companies to provide excellent business opportunities without the traditional investment.
If you are interested in learning more about the innovative company we found and how you can start repeating a proven business model,
Rufus Cross, CVO
Cross Global Networks
Call or Text @ 404-953-5078