What qualities do you look for in a franchisee?
Is it true that opening a franchise business is the best way to get into the market for everyone? No, it’s not. If you are a very autonomous person, you may feel constrained by procedures that must be followed. Some folks simply appreciate the freedom to do as they please. You might be better off going it alone if you’re a maverick or have a pioneering attitude.
Buying a franchise, on the other hand, could be the ideal career decision for those of us who want to manage our own business but would want some assistance along the way. The best franchisees are those that are willing to learn and listen to their franchisor’s suggestions. It’s a cliché, but trying to reinvent the wheel in franchising is the worst thing you can do!
Franchises come in a variety of sizes and shapes. A franchise can be purchased for a few thousand pounds at the low end of the scale. If you go big and buy a multi-site franchise, though, you may end up spending hundreds of thousands of pounds. The average cost of a franchise, according to the British Franchise Association, is roughly £40,000.
Don’t worry if you can’t acquire all of the funds yourself; another benefit of purchasing a franchise is the ability to obtain bank financing, which can cover up to 70% of the overall cost. The banks understand that investing in a good franchise system is a safe option, and that they will be more likely to have their loan repaid in full!