It?s really easy to determine which franchises will be the most successful. You see them advertised on television and on billboards, hear them advertised on the air, and cannot drive through a shopping center anywhere in the united states without passing a number of of them.
Not only do you know who they are, you have probably been in some of them so many times you know exactly what they must offer. These franchises, quite simply, have succeeded wildly in branding their products. What are they?
Franchise restaurants, of course. Anybody borne after 1955 probably cannot remember a world in which McDonald?s didn?t exist, plus they were only the beginning. Should you be one of the thousands of people thinking about breaking from the nine-to-five routine and starting your own business, you could do much worse when compared to a franchise restaurant.
Why? Because given the decision of trying to set up a loyal customer base for a fresh, unfamiliar product of your own choosing, and going with a restaurant franchise with food already familiar and proven to keep the customers coming back, the odds are definitely privately of the franchise restaurant.
The Pros and Cons
There are, needless to say, big risks in starting a restaurant of any kind. Only those people who have a genuine love for the business enterprise usually stick with it long enough to create a profit; whilst having a franchise restaurant may ease some of the concerns, there are several realities it is advisable to face before you start.
First, investing in a franchise restaurant can be quite expensive; they can include actually buying the land on which you will build your operation. You could be able to get help with your financing from the franchisor, and banks also realize that a restaurant franchise is one of the less risky smaller businesses, so may be willing to give you favorable terms.
On the positive side, you will have the advantage of selling only those foods which are proven moneymakers, in order to limit your inventory, which is ordered from the parent company?s preferred suppliers. You and your company?s other franchisees in the area can share the expenses of joint advertising. For more information see http://www.startfranchisehelp.com/Franchise_Broker/ on Franchise Broker.
On the downside, be prepared for long hours at your franchise restaurant; as a franchisee you should have certain standards, both service and financial, to keep, and you’ll be giving regular reports to your franchisor. Should you have personnel shortages, your household members must fill the gaps.
You can almost count on having personnel problems; low pay and unchallenging work will make it hard to help keep employees for extended periods. Restaurant employee turnover is incredibly high. But if you as well as your family are willing to provide you with the elbow grease, your chances of succeeding with a well-established franchise restaurant are much better than they would be in any business you could start.