It?s really not hard to figure out which franchises are the most successful. You see them advertised on television and on billboards, hear them advertised on the radio, and cannot drive through a shopping center anywhere in the united states without passing a number of of them.
Not only do you know who they are, you likely have been in many of them so many times you know exactly what they need to offer. These franchises, basically, have succeeded wildly in branding their products. What exactly are they?
Franchise restaurants, needless to say. Anybody borne after 1955 probably cannot remember a world in which McDonald?s didn?t exist, and they were only the beginning. When you are one of the millions of people thinking about breaking from the nine-to-five routine and starting your own business, you could do much worse than a franchise restaurant.
Why? Because given the choice of trying to set up a loyal customer base for a new, unfamiliar product of your own choosing, and choosing a restaurant franchise with food already familiar and which can keep the customers returning, the odds are definitely on the side of the franchise restaurant.
The Pros and Cons
There are, needless to say, big risks in starting a restaurant of any sort. Only those who have a genuine love for the business enterprise usually stay with it long enough to create a profit; while having a franchise restaurant may ease some of the concerns, there are a few realities you should face before you start.
First, buying a franchise restaurant can be very expensive; they are able to include actually purchasing the land on which you will build your operation. You may be able to get help with your financing from the franchisor, and banks also realize that a restaurant franchise is among the less risky small 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 you can limit your inventory, which is ordered from the parent company?s preferred suppliers. You as well as your company?s other franchisees in your community can share the expenses 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, and you’ll be giving regular reports to your franchisor. When you have personnel shortages, your household members will need to fill the gaps.
You can almost count on having personnel problems; low pay and unchallenging work can make it hard to help keep employees for extended periods. Restaurant employee turnover is incredibly high. But if you as well as your family are willing to supply the elbow grease, your chances of succeeding with a well-established franchise restaurant are much better than they would be in any other business you could start.