Can A Franchise Be Your Answer?

Is Franchising A Business In A Box?

A franchise is commonly sold as a business in a box. You pay a start-up fee and royalties for access to a supposedly proven brand and product, and after a few weeks of coaching, you're off and running toward success and profits. For some corporate refugees, purchasing a franchise can appear as secure as taking another company job, but with the ability to make more cash and not be hounded by a boss. Sounds simple, no?
A 2002 survey of franchisees, conducted by Frank Wadsworth, a lecturer at Indiana University Southeast, commends that a franchisee's relationships with both his business and his franchiser are anything apart from simple or sure.

rated it below average or poor ) and 67% say their franchise has a good brand. although about two thirds have been rewarding at some particular point, only 44% say they've seen a good return on their investment. How can folk who are not happy with the monetary outcome of their business still be nearly satisfied with the business itself? Dr. 'If you've put all this money into a franchise, you wish to think well of the choice you've made, ' Dr. Wadsworth notes.

An enormous Investment
Troy xmas, who owns a Money Mailer LLC franchise in Berkeley, Calif, highlights that, at least at the outset, franchisees are extraordinarily dependent upon their franchiser. ( money Mailer, of Garden Grove, Calif, sends envelopes of chits from local firms to homeowners. 'When you're starting out, you're clueless, and all you know is keep your nose to the grindstone and do as the system tells you because it worked for other people, ' he says. Christmas reports that he is's OK with cash Mailer, and he has received additional training and consulting when he's's required them. Even so, he sees how franchisers can use that dependence to their advantage.

You're feeling like they're supporting you, even if there is not anything they can basically do to help you, ' he is saying. 'The message you're receiving from all this is if you are not doing well, it isn't their fault, it's your fault.'

Dr. 'But none give their folks total freedom.'
And that is the way most franchisees want it. While less than half of the franchisees surveyed say they're permitted to'exercise their entrepreneurial abilities' or innovate with new products and services on their lonesome, 60% say they have as much autonomy as they desire.
'The key to a franchise's success is consistency ; getting the same sandwich or hotel room or service in Orlando ( FL ) as in Dallas ( TX ). So if you are a real businessman, you most likely do not want to have a franchise, ' Ken Hollowell, President of Profran Consultants says.

Outgrowing relations
David Boyuka, a Woodcraft Supply Corp. 'There's a price to pay for that, but you acknowledge that that's the deal you struck.'

Profran Consultants can answer your franchise development questions. If you need funding for your franchise business we can help .