Five reasons to buy a franchise
If you are here you are probably considering a franchise, you are already aware that franchising is a great way to get into business, with a proven model and the expert support that an established company can give you. You may or may not be aware that only 10% - 20% of new startup businesses will succeed and survive, while 80% - 90% of franchises on the other hand, flourish.
Reasons to franchise over starting alone
We explore some of the reasons why this is in our five reasons to buy a franchise below:
1) You work FOR yourself not BY yourselfThink about it for a moment, you get all the benefits of both working for yourself; building your own business and future, flexibility, setting your own goals, benefits going YOU the not an employee, while you are not alone, you are supported by experts who have succeeded in the field. Franchising really is a win-win.
2) It can be MUCH cheaper than starting up aloneYou may see some franchise fees and think ‘where does my money go?’ however, you will receive many, many cost effective benefits for your cash, here are just a few:Tangible goods; for example with a Just Shutters franchise some of the fee goes towards tools, sales kits, beautifully branded vehicles (deposits/rental), business cards, literature and marketing; much of your marketing budget goes directly into spending on your franchise, for example adverts, billboards, flyers, distribution, the rest will be establishing you online, SEO, PPC, Social media advertising. Other benefits will include staffing, taking your calls, keeping diaries, using bespoke paid for systems that would cost tens of thousands for you to have created for a new business, systems and data capture that have been refined over years. Website personalisation/usage; websites that work cost a fortune, you may see these free packages on the TV and think they can be done cheaply but in any business that uses it’s website as a lead generating tool you MUST have expert help, if you do not have good SEO (which can cost thousands) you will not be found in Google, you will rely on paid advertising which will again cost many thousands of pounds month in, month out. With a franchise, the franchisor will have the systems working, the leads coming in and a personal web package that gives you a piece of the pie without having to invest in your own custom sites and systems.Brand recognition and reputation is something that costs time and money! Jumping in when the hard work has been done allows you to benefit from the many years that it has taken to build these.Experience, support, training, seminars and more - experience is worth its weight in gold, for example our franchisees will never waste a penny in radio advertising, why? It does not work for our visually pleasing lifestyle brand. How do we know? Five figure investments over many months tells us so. This is just one of many cost saving reasons franchisor experience can reward franchisees handsomely. Training and support from experts in the field are just two reasons why franchises succeed where many start-ups do not.
3) Brand recognition and affectionBrand recognition and brand affection, these two terms may sound like jargon but in reality they are the lifeblood of any business, do customers know you? And do they like and trust you? When starting out it can take many years and huge investments to get customers to know you, then it takes many more years to build the level of trust and ‘affection’ an established brand already has. Brand recognition in itself is hard, making yourself stand out from the crowd and be the ‘go to’ company in an ultra competitive world takes vital resources, energy, effort and money. Most start-ups fail to take into account the sheer time it takes, even if they have the budgets to build big advertising campaigns, the long term reputation, reviews, rankings, word of mouth recommendations cannot simply be purchased. A franchisee can walk into an established company and benefit from the years of experience, the recognition and reputation, the customer knowledge and trust. AND work with the people who have already proven great success in the sector.
4) A proven modelIt sounds silly doesn’t it but no two businesses are the same, identical businesses next door to each other will undoubtedly have different ways of doing things. Let’s look at two cafes, Cafe 1 and cafe 2, firstly their branding will differ attracting different clientele, their menus will differ, the way they staff and service the cafe will differ, the customer service experience, the food, the costs of the ingredients, their suppliers, the supply chain, their discounts and purchasing, their computer systems and management, their website and marketing and way of attracting and retaining customers.Cafe 1 could be bigger and look great, but if Cafe 2 has a better customer experience, food, or better business model in it’s markup, or marketing efforts, Cafe 2 will beat Cafe 1 every time. Established brands will have every step in the marketing, customer experience, staffing, lead generation and supply chain nailed. They will have the experience of getting things wrong and then correcting it, trying and failing, retrying and succeeding in all areas. All this refining adds up to a perfectly easy to replicate formula each new franchisee can follow. Choosing brands that have their own hard earned experience in the industry AND proven success in franchising already, will show you that their model IS easy to replicate and make a success of.
5) You know what you are gettingYes there are probably 50 more reasons to buy a franchise and you may be thinking ‘why this point?’ however I would like you to think about it for a moment, as business owners ourselves, we have tried and failed in ventures long before Just Shutters, we know just how uncertain starting a business can be. With a franchise there are tried and tested proven ways, timescales, goals, costs, mark-ups, warranties and much more.Now we are not saying it is guaranteed that all franchisees will succeed, hard work is of course needed as much in a franchise as it is in a start-up, however, what is more secure is the process, you can go in with your eyes open and know what you get for your money, a contract that has in black and white your roles and responsibilities - now that is something that no amount of self believe and great ideas can give you when you go it alone.
We hope you have enjoyed reading about just some of the benefits of franchising, please feel free to browse our blogs for more franchise information. To find out more about a Just Shutters franchise, please call us on 01202 233744 or fill in the form on this page for a free franchise prospectus.