For many Americans, business ownership represents the culmination of a lifelong dream. And yet, many Americans soon discover that business ownership is fraught with risks and challenges. That’s why you should start a franchise.
You still get the experience of owning your own business, but you also receive the support of your parent organization. Read on to discover the top three benefits of franchising. And if you’re looking for more, dive deeper into your business journey with our guide on the seven benefits of franchising.
1. Brand Recognition
When you start your own business, one of your earliest challenges is building brand awareness among your target customer base. Let’s face it: Your customers might not immediately know what to expect from a business called “Saltly’si.” This means you need to invest time, money, and energy into a marketing campaign. Even then, it takes some time before your new company becomes a household name.This is one reason why you should start a franchise.
A franchise offers instant brand recognition. Likely, consumers in your area will have heard of, or used your products/services in the past. In other words, they know exactly what to expect from the moment you open your doors.
Operating under a well-established brand also ensures that you have a built-in customer base. Many customers may already be loyal to the company based on past experiences. These positive associations easily transfer from the company as a whole to your franchise location.
Rather than investing considerable time and energy in a marketing campaign, a “coming soon” banner is all you need to generate local interest and tap into a steady stream of loyal clients.
2. Support and Guidance
There are many reasons to open a business, and many entrepreneurs are especially drawn to the idea of being their own boss. As a business owner, you set your schedule, make your own decisions, and take pride in seeing the fruits of your labor.
But this freedom comes at a price. Being your own boss also means that you make all of the decisions, which can be particularly challenging in the early, startup phase of your business.
Operating a franchise gives you the freedom of owning your own business, but you also receive the other benefits of franchising. Franchisees receive support and guidance from the parent organization, helping them make critical startup decisions and get up and running faster.
For instance, most franchisors offer support in the form of:
- Training programs
- Assistance in obtaining supplies and equipment
- Marketing materials
Some of this support is even indirect. As the owner of a nationwide franchise, you reap the benefits of their TV and radio ads. And because your franchisor has their own built-in marketing department, you only need to implement the program and materials that they provide.
Additionally, you become a part of a vast network of other franchisees. This allows you to share best practices and strategies to optimize your business and navigate periods of instability.
3. More Money, Less Risk
It’s an unfortunate reality that most new businesses don’t last more than a few years at most. That can make business ownership feel like a bit of a gamble, especially for first-time business owners.
This is yet another reason why you should start a franchise. With a franchise, you operate under a business model that’s already been tried and proven effective. This means that franchise owners experience considerably less risk than other types of business.
That doesn’t mean that franchises are immune from economic downturns, but a larger corporation has the resources to weather lean periods and can provide their franchisees with support and best practices for how to navigate these seasons.
At the same time, a franchise can offer higher profits than opening your own business, thanks to a built-in customer base and brand recognition. With a built-in customer base, there is no delay between the day your doors open and the day that you see customers coming through it.
Are There Franchise Opportunities Near Me?
With so many benefits of franchising, there’s never been a better time to partner with a major chain. As a franchise owner, you receive all of the benefits of running your own business but with greater stability and less risk.
When you’re ready to begin your franchising journey, start with Franchise.com. Our resources provide a better picture of what it’s like to run a franchise, and our franchise finder can help you find opportunities in your area. Start your journey today, and find your next great adventure in the world of franchising!
