How,Badly,you,Want,Change,your business, insurance How Badly do you Want to Change your Life by Becoming a Fran
Date:2020-12-26 How,Badly,you,Want,Change,your business
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As we all know to live in this world we have to perform some activity by which we can earn money. There are many activities by which we can earn money and meet the standards to live in this society. And from one of them is franchise. Franc
Bringing a business to life from nowhere is not a simple task. Buying a franchise business rescues you from this task. There are many companies that permit traders to distribute their products under their names within different geographical areas. For example, you can strike a deal with any petroleum company to run petroleum retail shops within your country. So what is a Franchise? This is a form of business where a right is granted to an individual to sell companys goods or services in a particular place. The independent retailers that use the companys trademark (permitted to distribute the companys products through independent retail outlets) are termed as franchisee. While the company that possess the trademark (Owns the products) is termed as the franchisor. Five Types of Franchise Business1. Multiple-Unit FranchiseIn this type, youre allowed to open more than one unit. Its pros are; (a) less operations in each day because hired managers and employees manage it. (b) Youre not restricted in one area. (c) The risks are less.2. Single Unit In this type, youre only allowed to operate a single unit. Youre fully responsible for its daily operations. The franchisor covers a particular territory and she allocates the number of kilometers to be covered by a unit. Its pros are; (a) It requires low capital investments compared to multiple units. (b) It has got good returns on capital invested.3. Buying an Existing FranchiseIn this type, you run an already existing and proven resale that is successful in the market. The pros of this type are; (a) You commence business immediately after you have fully agreed with the franchisor. (b) You possess the already existing customers plus employees. (c) Most important is that you have no task of selecting a good location.Its cons are; (a) You have the obligation of finding the available ones that are being sold thus your research may take quite some time before you spot one as theyre never advertised. (b) It may take some time before youre proven as an ideal person to run it by the franchisor.4. Area DeveloperIn this type, you run several units in a particular territory that is large. Its pros are; (a) The brand awareness to the public is quickly built. (b) The expansion of the units is quick. (c) The franchise company offers you with the tools that are required. (d) The franchise company provides the necessary technical support, training etc.5. Master FranchiseThis type allows you to purchase the rights, and then you sub-franchise them within a particular area. Its pros are; (a) You experience rapid growth. (b) You run a franchise business that is already recognized nationally. (c) You receive financial advice and assistance from the franchisor.Its cons are; (a) The management rules may result to conflicts. (b) Some of the rules maybe difficult to implement. (c) The franchisor is the one who decides whom to sell your units to after you quit their business.
How,Badly,you,Want,Change,your
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