Multi-Unit Franchise Experts

Invest in Franchises

Investing in Franchise Businesses

For those who are just a few years away from retirement and are interested in building something new — starting a franchise business is an attractive option for many aspiring entrepreneurs. Becoming a franchisee offers the opportunity to be your own boss, step into a profitable business model, and depend on a team of experienced professionals to help you along the way. Before taking the leap and investing in a franchise business, it’s important to have a basic understanding of the factors you’ll need to consider and questions you’ll need to answer.

As members of the International Franchise Professionals Group (IFPG), our franchise broker group provides aspiring business owners with the guidance and resources they need to identify and invest in franchise businesses. Before investing in a franchise, consider the answers to the following frequently asked questions.

What Are the Benefits of Franchising?

Investing in a franchise provides several advantages to entrepreneurs, particularly when compared to starting a business from scratch. For example, investing in a franchise business limits your financial risk because you enter into an established business that usually has a proven track record of success. Additionally, franchisors typically provide a comprehensive operational system, with materials such as training programs, support networks, and management advice. Purchasing a franchise gives you the right to use the franchisor’s proven process and existing customer base to help get your business off the ground faster.

How Do I Choose the Right Franchise?

Choosing the right franchise is essential to ensure success, as you’ll need to find one that best aligns with your interests, skills, and business goals. When researching your options, be sure to consider multiple options and use resources such as IFPG’s Franchise Business Network to identify respected and established franchises and franchise opportunities in your desired industry.

When you’ve narrowed your list of prospective franchises, take additional steps to investigate each opportunity and learn more about the company and its background, in-depth financial information, and competitive advantage. This process may be made easier with the help of a professional franchise broker or consultant.

How Much Money Do I Need to Invest?

The financial requirements of investing in a franchise vary significantly by industry, size of the franchise, and other factors. For those who are interested in investing in a franchise, plan to commit to thousands of dollars of startup & working capital, as well as any marketing expenses or fees required by the franchisor. Additionally, you’ll need to consider any local, state, or federal permits and licenses for your business venture.

What Are the Financing Options?

Many franchisors have specific finance partners that they work with, which can help to reduce the costs and requirements associated with financing. Additionally, you may want to consider seeking professional advice from a finance broker or consultant on locating financing specifically for franchises.


Investing in Franchise Businesses,

Benefits of Franchising,

Choosing the Right Franchise

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