It?s really easy to determine which franchises are the most successful. You see them advertised on television and on billboards, hear them advertised on the radio, and cannot drive by way of a shopping center anywhere in the US without passing a number of of them.
Not only do you know who they are, you likely have been in some of them so many times you know exactly what they have to offer. These franchises, in other words, have succeeded wildly in branding their products. What exactly are they?
Franchise restaurants, needless to say. Anybody borne after 1955 probably cannot remember a global in which McDonald?s didn?t exist, and they were only the beginning. Should you be one of the millions of people thinking about breaking away from the nine-to-five routine and starting your own business, you could do much worse when compared to a franchise restaurant.
Why? Because given the decision of trying to establish a loyal customer base for a new, unfamiliar product of your choosing, and going with a restaurant franchise with food already familiar and proven to keep the customers coming back, the odds are definitely privately of the franchise restaurant.
The Pros and Cons
There are, needless to say, big risks in starting a restaurant of any sort. Only those people who have a genuine love for the business enterprise usually stay with it long enough to create a profit; whilst having a franchise restaurant may ease a few of the concerns, there are several realities you need to face before you start.
First, buying a franchise restaurant can be quite expensive; they are able to include actually purchasing the land on which you will build your operation. You may well be able to get help together with your financing from the franchisor, and banks also realize that a restaurant franchise is one of the less risky smaller businesses, so may be ready to give you favorable terms.
On the positive side, you will have the benefit of selling only those foods which are proven moneymakers, so that you can limit your inventory, which will be ordered from the parent company?s preferred suppliers. You as well as your company?s other franchisees in your community can share the costs of joint advertising. For more info see http://www.startfranchisehelp.com/Franchise_Broker/ on Franchise Broker.
On the downside, be prepared for extended hours at your franchise restaurant; as a franchisee you should have certain standards, both service and financial, to keep up, and you’ll be giving regular reports to your franchisor. In case you have personnel shortages, your household members must fill the gaps.
You can almost depend on having personnel problems; low pay and unchallenging work can make it hard to help keep employees for extended periods. Restaurant employee turnover is extremely high. But if you and your family are willing to provide you with the elbow grease, your likelihood of succeeding with a well-established franchise restaurant are much better than they would be in any business you could start.