If you’re thinking of investing your money into a franchise business, it’s safe to say the chances of your franchise not being successful are minimal compared to starting a new business. That’s because franchising offers a number of benefits, both to the buyer and seller.
Here are some of the primary advantages a franchise model presents.
Training and support
As a franchisee you can expect to receive initial training and ongoing support from the franchisor, which greatly increases your chances of succeeding. A good example to mention is the F45 fitness franchise, which has been extremely successful with franchises all over the world. F45 provides its franchisees with daily training programs, and extensive coaching in the F45 business system, including customer acquisition and retention. “This assistance allows franchisees and their staff to avoid a lot of the renowned pitfalls of gym ownership and focus their energy on the key growth drivers in their business,” says F45 Invest. The support franchisors offer normally includes managerial and administrative services, as well as marketing support.
An Entrepreneur article highlighted that: “The most common barrier to expansion faced by today’s small businesses is lack of access to capital”. Banks are more likely to approve a loan to buy a franchise with a credible reputation, so financing your business may be easier if you choose to invest in a credible franchise.
No experience required
You don’t need to have prior experience to operate a franchise. The training provided by the franchisor ensures you gain the skills required to run the franchise. At F45 everything is tailored to be as simple as possible; the incredible success of the fitness franchise could be due to the fact that it has made the process of opening a new studio very easy, wherever you are in the world.
A key benefit in the franchise business model is that, as a franchisee, you are given the right to trade with an established name, logo and style, which is not the case when you start an independent business. While your franchise won’t be immediately distinguishable from other franchises in the network, you can make customers aware of local ownership.
According to Small Business, “because a franchise consists of several entities doing business under the same banner, its purchasing power can be mighty”. As a franchisee, you benefit from the negotiating power of the franchisor. From brand awareness, major global partnerships, spokespersons, and marketing campaigns, having a big brand behind your own franchise helps drive sales and leads for your local market.
While the success of a franchise depends on several factors, if you do your research well and find a franchise that suits you, it can be extremely beneficial. Franchise opportunities like F45 training, are a great opportunity to take advantage of.