Question: What are the advantages of buying a franchise?
Answer:The main advantage of buying a franchise is that potential franchisees will be purchasing an established business model that has been tried and tested. On top of that, you will be exposed to industry trade secrets and the valuable know-how of the franchisor, while taking advantage of the organisation’s branding and valuable goodwill. This dramatically reduces the risk of failure compared to starting up a new business on your own.
The franchisor is also responsible for many of the key aspects of the business, such as trademarks and other intellectual property, product development, equipment, training, uniforms and corporate compliance. They will also have already established relationships with suppliers and contractors, which franchisees will often have to agree to using exclusively, as set out in the franchise agreement.
Buying a franchise also means that you are in charge of running the business as if it were your own, and you benefit from using a tested model as a starting point to grow your limb of the franchise.
