Buying a Franchise – Boon or Bane?

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Buying a Franchise Boon or Bane?

• BY
• http//benchmarkbusiness.com.au/

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Taking the first steps towards buying your
own business is a big step by itself, but then
comes various questions Which? What? When? Where?
Relating to the business you want to start. Lets
see about Franchise Business model for your new
business in this blog. When you start a
business you have to learn new laws and ways of
doing business depending on the sector, it may be
difficult and some give up even doing business
because of many obstacles which come in their
way.
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• Boon?
• The franchisor will provide you with a system to
  follow with clear instructions. In my view, if
  you follow the system and policies its easy
  doing business.
• The franchisor will provide not only a lot of
  support to help you learn the business,
  but also manage many elements of the business
  like Suppliers, Products, Marketing, Pricing,
  Promotions, Training, Maintenance, Staff Training
  Pay Structure, Store Layout, etc. Most
  Franchise stores are turnkey operation.
• The franchisor will provide you with ongoing
  support and guidance to operate the business. You
  dont need business experience in most franchise
  business as the franchisor will train you and set
  up the business for you. You can also benefit
  from the brand image the franchisor have already
  established.
• Franchises have a higher rate of success than
  start-up businesses. It may be easier to secure
  finance for a franchise.
• They do this mainly because their Success depends
  on your Success.

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• Bane?
• Franchisors dictate how you should run the
  business, what to do in the business, what to
  sell and what not to sell, who to buy supplies
  from, what promotions can be run, etc.
• Location availability is solely dependent on the
  Franchise availability and if you are buying an
  established Franchise good locations comes with a
  higher costs.
• Franchise Business means ongoing profit sharing
  with the franchisor even if you are good
  operator it is up to them whether to renew your
  term at the end of the agreement.
• Franchise can be easy to get into model, but the
  major part of success of it depends on the
  Franchisors Brand Image, so youre dependent
  constantly on outside factors no matter how well
  you operate your business.
• Franchise Business in no guarantee for success
  but definitely an easy model for any novice in
  business, all the principles required to be
  successful in business applies to franchise
  business as well. When buying a franchise do your
  research of the brand and the business you are
  buying, make sure your investment will generate
  good returns and a capital gain when you sell.
  Always have an Exit Plan Ready!
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Karthik Arasu -Service Station Specialist0422
3140 325 Businesses for sale quick
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