{"id":9782,"date":"2009-06-17T02:12:41","date_gmt":"2009-06-17T07:12:41","guid":{"rendered":"http:\/\/magic1host.com\/blog\/2009\/06\/17\/introduction-to-franchising\/"},"modified":"2009-06-17T02:12:41","modified_gmt":"2009-06-17T07:12:41","slug":"introduction-to-franchising","status":"publish","type":"post","link":"https:\/\/magic1host.com\/blog\/?p=9782","title":{"rendered":"Introduction to Franchising"},"content":{"rendered":"
by Tal Potishman<\/div>\n

Thinking of running a business but wary of the risks involved in starting it up independently? Franchising could be the right option for you, as it offers you the opportunity to work with an established concept instead of coming up with your own business idea. You will be able to take advantage of a tried and tested area by working with an already recognised brand name. Your level of control in running the business will be limited to certain degree. For instance, you will own and operate your own outlet, however your franchisor will retain control over how the products and services are sold. If you have a personal interest in a particular area of business, franchising is an exciting way of making your dream happen.<\/p>\n

What is franchising?<\/p>\n

Franchising is when the owner<\/a> of the business (the Franchisor) grants a licence to another person or business (the Franchisee) to use their business idea. In the agreement the licence will be for a fixed duration of time, and will give the franchisee permission to use the franchisor’s name, product, service and association. Therefore you will be making a connection with a recognised brand name, and working to make a return on your investment, using the franchisor’s products and services. The franchisor will already have a successful system in place, and you will be working by the rules of this system.<\/p>\n

The advantages of Franchising<\/p>\n

If you are thinking of buying a franchise, there are many advantages associated with this. You should think about some of the following: <\/p>\n

The level of risk associated with investing in the business is reduced substantially. If the other franchises have already been successful, you will be working with a proven idea, and should be making profit faster<\/p>\n

The more recognised the brand name is, the more you will benefit from it. Customers prefer to deal with the ‘known’ rather than the ‘unknown’ <\/p>\n

The franchisor will in most cases, be able to offer you on-going training and support. This will be extremely beneficial to you as you will gain useful tips and knowledge from an already experienced business set-up<\/p>\n

The banks will be more helpful towards assisting you financially as they will be aware that you will be operating a franchise with a good reputation<\/p>\n

Whilst there are many positives associated with franchising, there are also some drawbacks. It is up to you to assess the weighting of each before you reach your final decision: <\/p>\n

You will not have complete control in running the business. Therefore you will have to be content with following some rules and regulations, and be able to adhere to certain restrictions <\/p>\n

The more well-known the franchise is, the more expensive it is likely to be. You will have to be prepared to dig deep into your pockets for this <\/p>\n

Depending on how well the franchise is doing, there is an element of risk that it may go out of business <\/p>\n

The level of support and training you will receive will depend on the type of franchise you go for. Not every franchise will offer you a large amount of support. It is advisable that you investigate this further before you make a decision<\/p>\n

\n
About the Author:<\/div>\n
Tal Potishman, editor of Heating Central, writes<\/a> articles on combi boilers<\/a>, central heating, Mill Hill plumbers<\/a>, underfloor heating and solar thermal. He specializes in helping save money by advising on efficient heating.<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Thinking of running a business but wary of the risks involved in starting it up independently? Franchising could be the right option for you, as it offers you the opportunity to work with an established concept instead of coming up with your own business idea. You will be able to take advantage of a tried and tested area by working with an already recognised brand name. Your level of control in running the business will be limited to certain degree. For instance, you will own and operate your own outlet, however your franchisor will retain control over how the products and services are sold. If you have a personal interest in a particular area of business, franchising is an exciting way of making your dream happen.<\/p>\n","protected":false},"author":2624,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[77],"class_list":["post-9782","post","type-post","status-publish","format-standard","hentry","category-business","tag-business"],"_links":{"self":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/9782","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/2624"}],"replies":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9782"}],"version-history":[{"count":0,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/9782\/revisions"}],"wp:attachment":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9782"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9782"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9782"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}