There seems to be a higher level of optimism globally as economic data shows that we are finally heading out of recession. People are excited and looking for opportunities, as business, in general, seems to be taking a turn for the better.
What better way to take advantage of an economic upturn than to open a franchise, as this means your valuable time and expenses are not wasted on establishing your brand name and developing your product. Instead, you are given a turnkey business, allowing you to run it without having to worry about the groundwork involved when starting a conventional business.
Buying a franchise opportunity can be daunting. But with the right research, it doesn’t have to be.
A few imperative points to research when buying a franchise opportunity are the following:
Financial
Set up costs, joining fees and monthly costs are all taken on by the prospective franchisee when starting a franchise. Monthly fees could include marketing and royalty fees. Rent is usually high in franchise businesses because the location is important. All costs need to be taken into consideration, including salaries, maintenance, utilities, etc.
Marketing
Marketing fees are usually a percentage of your monthly turn-over. They should be verified to ensure that they are in line with similar franchises.
Location
When considering your location, one should be aware of territorial conflict. Usually, franchisees are given a geographical area, with boundaries, in which to operate their business. This ensures exclusivity and avoids conflict.
Legal Matters
There are many legal agreements, apart from the actual franchise agreement, that are signed when entering into a franchise opportunity. These might include lease agreements, supplier agreements and shareholder agreements. It would be wise to seek legal advice to ensure that all is fair and legally binding.
Training
Start-up training and sometimes ongoing skills development of the franchisee and their staff are usually the responsibility of the franchisor. It is imperative to ensure that all facets of training are included. This includes management training in the field and training in occupational health as well as safety training. Proper training will ensure that your franchise is a success.
Digital marketing not only drives traffic to your website through social media marketing and content marketing, but it also ensures that your hit rate is improved through SEO. This can all be done from the comfort of your own home or just about anywhere with an internet connection. There is also little to no cost when starting up a digital marketing franchise, making it an extremely attractive option when one is looking to buy a franchise opportunity.