There are many reasons why becoming part of a franchise is an attractive opportunity. In the UK, franchises are becoming increasingly popular and it is clear to see why. Franchising allows you to become part of a company that can support one another, whilst still being self-employed. Here, we explain some of the advantages of being a franchisee.
Join a business with a proven track record
Starting your own business is always daunting. However, when you are a franchisee you have the comfort of knowing you are part of a business with a proven track record. As long as you undertake sufficient research at the beginning to truly understand the business, you are able to make an informed decision about whether you fit in with the company and can be part of their existing success.
When you are starting from scratch, you need to ensure that you are building a brand, which doesn’t happen overnight and can be extremely tough to do well. Having a franchise removes this pressure as the brand is already established, allowing you to leverage the existing brand's reputation to give your business a boost straight away.
Training is provided
One of the major benefits of becoming a franchisee is that most franchises offer franchisee training. Not only will this make you more comfortable with starting your own business, but the training can also help you maximise your potential and improve your future earnings. The training will often not be a one-off affair either. Franchises often provide ongoing support with all aspects of your business such as customer service, marketing, and much more. This is an invaluable resource to have access to. They will have extensive experience in the business and have regular contact with all other franchisees. This means they know if franchisees are having similar problems and therefore will be able to help provide advice on how to make the most of your business and investment. At the end of the day, if you are making money, they are as well so this vested interest means you can rely on them to help you when needed.
More independence than being an employee
Becoming a franchisee provides you with more independence and flexibility that you probably would not be able to achieve if you were a normal employee. Whilst you are still working for a larger brand, you are in control of your own franchisee and self-employed which brings with it the benefits of being able to essentially work the hours you want to. This is a great opportunity for many people who potentially want to reduce the number of hours they work or have the option to choose which hours they work so that they can work around their family life and have the flexibility a normal 9-5 office job doesn’t allow.
Risk Avoidance
As we have previously mentioned, starting any business on your own has an element of risk attached to it. However, by going down the franchise route, you are reducing this risk significantly. The franchise model, if you are choosing one which is already established will have a proven business model that is clearly working. Knowing there is a plan in place which has proven success means that you are in a much better position with a clearer direction than you may have been if you launched your own business independently. Your franchisor will already know what does and doesn’t work and will be on hand to share top tips on how to succeed and best practices.
Given a specific territory
Another benefit of becoming a franchisee is that you are given an exclusive area and territory for your business to operate. Franchisors do an immense amount of research to discover key areas of potential meaning you don’t have to. When you purchase your franchise, you will already have access to information that shows your territory should be a great area to do business. This is not only a great time-saver, but it can also provide you with considerable peace of mind. Although there may be other companies in the area that do a similar job, you know that there will be no other franchise from the same company working in your area.
Economies of Scale
You may be able to benefit from economies of scale by being part of a larger operator. Franchises can often get significant discounts on products if they are bulk purchasing, these savings can be passed down to the individual franchisees. These bulk buying savings may simply not be feasible for a start-up. Not only can your business save money, but it can also help boost your profit margins for your products and services.
Greater access to finance options
Although this may not always be the case, banks are usually more willing to provide loans for franchisees rather than individual start-ups. Having the documentation and information about the success of other franchises, you can prove to the bank that your business proposal is promising as you are part of an already established and well-performing company. Larger brand names with national or even international recognition will help you and your business be viewed as reliable and trustworthy. This is vital when trying to raise funds for your business.
Access to marketing material
As a franchisee, you will have access to a wealth of existing marketing material that you will be able to adapt and use for your own business from logos to social media, website content, and more. This means you will save time as you will not have to be creating this content yourself which can take a significant about of time and money. Many franchises have established methods of marketing already in place which are used to promote the brand as a whole. This means you and your business will be able to reap the rewards of this along with all the other franchisees.
As this article shows, there are plenty of advantages of being a franchisee. Not only can it makes sense from a financial point of view, investing in a franchise can allow you to still live out your dream of being self-employed. The key is finding the right franchise opportunity for you. It needs to fit your personality, your skills as well as your lifestyle, and what your aspirations are. With so many franchise opportunities available, many of which only require a low initial investment, you will have will plenty of options to ensure you end up with the flexible working you desire and start a business you enjoy running. Starting your own business is always hard work and whilst being a franchisee doesn’t immediately make your job easier, it can help you.
