Personal factor will have much to do with how you judge the franchise relationship and if you’re fit as a franchisee. You should have the characteristics of a successful entrepreneur. Franchisees in well run systems tend to view themselves as entrepreneurs and important local businesspersons. The question you must answer is: Under the franchise relationship I’m studying, will the franchisor consider me as entrepreneur? Or will I be treated as an employee of the parent company?
Many people know that they want to go into business for themselves, but are hesitant to take the drastic step in starting in wholly independent business venture. It is a risky endeavor and the failure rate is high. Lack of seasoned business experience quite appropriately makes would-be entrepreneurs uneasy about going at it alone. Although many people know that operating a small business is what they want to do, they lack a specific idea, product, service, or business location.
Franchising has very special appeal for such individuals, and perhaps for you. Buying a franchise means that you would not be venturing into completely uncharted waters. Buying a franchise appropriate to your capabilities could gain you the following advantages:
The business and its methods would have been thoroughly tested.
You would begin with a known product or service that has already achieved customer approval and acceptance. For example, the certain hang tags printing company has been very successful and also proved its reputation in the market by having a consistent profit since the start. Their hang tags are very popular and have created a signature among the customers.
There would be proven track record of financial and marketing success that can be transferred to the specific franchise you will purchase.
Expert help would be available to you in launching and operating the business in such areas as site location, store layout, merchandising, inventory control and accounting. Like, the owner of the hang tags printing will be very supportive and be visible on product launching and other events that require promotion.
For many franchised operations, and perhaps yours also, significant benefits would be found in group purchasing and national brand advertising.
Many franchisees welcome group identity and participation in a franchise system. Observers have noted that many franchisees really don’t want to be totally independent, but rather seek to be part of a large successful organization and yet maintain their individual identity. The right franchise would offer you the opportunity to enter a field business that might be prohibitively expensive to enter on your own.
Important trade-offs occur in choosing a franchise business. Even with the best franchise operations the franchisor tends to hold the advantage, especially in operating practices and in purchasing materials and supplies.
If you want to escape taking orders by operating a franchised business you may be frustrated by your lack of autonomy. You’ll have to prepare and submit detailed reports. You may have to set inventory levels and mix inventory items by rules, regardless of local customer preferences. You may have no say in your store location.
You may be limited to prescribed sources from which you buy supplies. And although you may disagree with the franchisor’s advertising program, you may probably not have any say in it.
Therefore, the franchise you should look for would combine the proven expertise and marketing sophistication of the franchisor with your need to exercise your entrepreneurial drive and your ability to manage the required capital investment. In evaluating a specific franchising operation, you should determine whether the combination results in mutual value and benefits. To do so, you’ll need some guidelines on what to expect in acquiring and operating the franchise. You’ll also want to know what the franchisor’s obligations are.
Author Resource:
Troy Duff works as a businessman and currently runs a printing company that offers hang tag printing , banners, magazines, flyers, door hangers, catalogs, table tents, presentation folders, hang tags , custom printer and other printed ads.
![[Valid RSS feed]](http://www.look4articles.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites
![[Valid RSS feed]](http://www.look4articles.com/images/rss.jpg "XML Feed For RSS")