For many newly-retired professionals, franchising has become an attractive option to keep active, engaged, and generate passive income. The opportunities afforded to those looking to own a business can quickly become daunting to someone without prior experience. If you’re eyeing a Windows franchise, then you’ve come to the right place.
In this article, we’ll address the most frequently asked questions by the recently retired investor considering a Windows franchise opportunity. We’ll discuss the cost of a franchise, the ROI potential, the requirements and qualifications, and more. So, without further ado, let’s dive right in.
What Is a Windows Franchise?
A Windows franchise is a type of business that is licensed by Microsoft to sell and service their products and services to consumers. The Windows franchise typically sells hardware, such as desktop PCs and laptops, tablets, and mobile phones. In addition, as an authorized partner of Microsoft, the Windows franchise may also provide software products, such as the Microsoft Office Suite, the Windows operating system, and other popular software applications.
What Does a Windows Franchise Cost?
The cost to own a Windows franchise varies depending on your franchise partner and the size of operations. Generally, an initial franchise fee of up to $50,000 is required, plus royalties ranging from 5% to 8% of gross revenues will be charged each month. Additional costs include build-out and remodeling expenses, inventory, and other items that will be necessary to open and operate the business.
What is the Potential ROI on a Windows Franchise?
The ROI potential of a Windows franchise is highly dependent on local competition, strategic marketing, and customer service. Generally speaking, with a well-run franchise in an attractive market, the ROI is estimated to be between 20-25%, with the potential to earn well over $100,000 in the first year of operation.
Are There Requirements or Qualifications for Owning a Windows Franchise?
Yes, Microsoft has a number of qualifications and requirements to own a Windows franchise. First, the prospective franchisee must have strong customer service skills, experience in the retail industry, financial capability, and a good credit rating. Additionally, Microsoft requires successful completion of their training program for new franchisees, a signed commitment to abide by the Microsoft Code of Conduct, and a minimum investment of $50,000.
What Is the Process for Opening A Windows Franchise?
The process for opening a Windows franchise begins by selecting a franchise partner and submitting your application to Microsoft. If your application is accepted, you will then be connected with a local Microsoft business adviser and provided access to the training materials and resources necessary to open and operate your franchise. Once you are satisfied that you have the necessary resources and training, you can then proceed to select a physical location, build-out and customize the store, hire staff, and market your store to generate sales.
Are There Any Alternatives to Owning a Windows Franchise?
Yes, there are other options to consider for those interested in owning a Windows franchise. One option is to become an independent consultant, where you can offer software solutions on a freelance basis to clients. This option is great for those who want to work independently and prefer not to manage a retail store. Additionally, you can also become an official partner of Microsoft by joining their Partner Network, where you can become a reseller and receive discounts on Microsoft products for your clients.