Buying a Franchise – Separating the Strong from the Weak!



Buying-a-Franchise-Separating-the-Strong-from-the-WeakA key factor to success is to first isolate strong franchise systems from weak ones, and then only focus your search on partnering with a strong franchisor. So let’s look at typical traits of both “strong” and “weak” franchises:

Characteristics of Weaker Franchise Systems:

Characteristics of Stronger Franchise Systems:

When you align with a strong franchise system, you are paying more for the initial franchise fee (usually between $25k and 75K) but you should be getting so much more in value. When compared to starting the same business from scratch in (non-franchised), when done right, as a franchisee you should experience a smoother launch, a shorter time to positive cashflow, and higher revenues once you’re ramped up than the same independent business in the same market.

1 Comment

  1. Richard Morin

    I like the approach of using pros and cons, and I think objectivity is critical in what can be a life altering decision. As you mention, emotion has little place in these financial and life style deliberations.
    Objectivity is often in short supply when friends and family get involved and offer opinions based on … subjective experiences and “feelings”.
    Well said.
    Rich

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