Business Franchising

Dec 23 2013 Published by under General

Riding a franchise can be a good alternative to start in the business world. You may require a lower financial outlay, we have a support system with centralized management, a proven business model, can achieve economies of scale (ie as the chain stores are X, they can get purchase prices or production costs more competitive than if it were an individual store) also started with a known brand name and consolidated, it has an exclusivity in the area, is a global marketing , which also reinforces the image in front of customers, and generally with training and ongoing technical assistance, and even with an integrated computer system. You could say that you can get many of the advantages of a large company but with a more or less small investment. Although theoretically they made us, and is a proven, it is also very important to a business plan, to project what your income and expenses we have, and how are we going to cope if we have to recruit staff if it must be specialized, we analyze what the potential market, and what has potential for growth, competition study (although not of our own shows, there may be others). When one thinks of riding a Franchising is important to try to learn as much as possible to the franchisor, its history, and if possible, visit any center that is in place, to see how the spot, including talking to customers …

Although the model works in general, it is interesting consider whether the type of business you are thinking mount fits the demographics of the town or city in which you want to install it. Normally it is put some limitations on the minimum number of inhabitants, so that at least statistically, and has business, but it is worth considering (not to go, for example, we start a business aimed at a young audience in a town with a population aging). It is also important to compare this alternative to starting a business for ourselves. For example, if I am thinking of setting up a franchise consisting of a tapas bar, why not mount it to my liking? Or even if I could adapt the style of a franchise that I like to myself, but that all benefits would be for me, and I will do my management style with my brand, and under my criteria (though not logically will enjoy other advantages already mentioned). That is, assessing whether it is what gives us the franchise is worth what we would have to pay.

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