Franchising is one of the best ways to get your foot in the door and get started in the business world. There are many advantages that the world of franchising offers. You can be your own boss, make your own schedule, and finally achieve that dream of being an entrepreneur. With an established business model to follow as you open your own location, you have a road map to success.
Choosing the Right Opportunity
There are literally thousands of franchising opportunities that currently exist in the United States. Sifting through the myriad options to choose a few to investigate that would seem to work best with your individual skills, lifestyle needs and finances, takes a lot of time and research. Many people assume that the only opportunities that exist are fast-food restaurants and coffee shops. But franchises exist across just about every industry. That’s why working with a franchise broker or consultant is the best way to go.
A broker is trained to narrow down the field of franchises and present you with the opportunities that best fit your profile. The right broker will save you time, money, and unnecessary frustration. And best of all, you pay nothing for the consultant’s time and services. They are compensated by the franchisor only if a franchise is awarded to you. Finding a broker who will help you choose a franchise that fits your skills, wants, and needs is the first step toward success.
You Have to Spend Money to Make Money
Like any other business venture, you can expect to invest some money to buy the franchise and start up your business. This investment can vary considerably and range from $10,000 to one million dollars. You might need to take out a loan or find a willing group of investors to get started. A franchise fee and other costs to set up your franchise will be outlined in detail as you explore different opportunities. Before you get too far into the process, make sure your finances in order. Most franchisors will not award you a franchise without details and proof of the funds you have available. The goal is to set you for success, which means having the funds to support the business and yourself at least until you are at breakeven.
The FDD (Franchise Disclosure Document)
Before you assume ownership of any franchise, you will go through a step-by-step investigation and discovery process that covers details about the investment, training, marketing, and legal matters. One of the first steps is reviewing the FDD (Franchise Disclosure Document) with the franchisor’s development team. This step is required by law and is there to ensure that you’re protected against any misleading statements or fictitious claims. While this might seem like nothing more than a formality, understanding these documents can mean all the difference in the world between success and failure. When you reach the final review stage, it’s a good idea to have a franchise attorney review any legal documents. Just as you wouldn’t engage a real estate attorney to manage an employment dispute, you need an attorney with franchise expertise who understands the federal and state laws of franchising.
You’re Almost Ready to Begin…
Remember, franchises are awarded, not just purchased. Once all documents have been signed, and the franchisor has officially awarded you with the franchise, you will have access to business plans, operations manuals, training, and much more to ensure that you get started on the right foot.
If you think you’re ready to begin, consult our team at FranchiseYourBusiness.com. We have access to the most successful franchisors and will leverage our relationships to get you to the front of the line. Give us a call today at 833-372-6249.