If you are planning for retirement and are researching how to build something for the future, exploring the world of franchising could be one of your options. Investing in a franchise can provide a number of benefits, like passive income, the ability to start a business from the ground up, and the opportunity to help others with job creation. However, the process of finding the right franchise opportunity is multi-faceted, and understanding all of the various components can be a daunting undertaking.
At the International Franchise Professionals Group (IFPG), we pride ourselves on helping people know the questions to ask, so they can make smart and informed decisions when it comes to franchising.
If you are exploring how to invest in a franchise near you, this guide is for you. We have answered some common questions to provide you with a comprehensive overview of all you need to know about franchising near you.
What Is a Franchise Business?
A franchise business is an agreement where a company, the franchisor, licenses its brand and trademark rights to an individual or group of individuals, the franchisees. This licensing agreement allows the franchisee to sell products or services under the franchisor’s name, with the franchisor setting certain guidelines. The franchisor provides the business system, marketing support, and training for the franchisee to follow.
When it comes to franchising near you, there are numerous different industries and business types to consider. From franchises in hospitality to franchises in education, retail, and other business sectors. With our network of more than 1,300 franchise broker group members, we can help you match the right franchise to fit your individual lifestyle and retirement goals.
What Is the Difference Between Franchising and Owning a Business?
One of the big advantages of franchising is that the franchisor has done most of the hard work for you; you don’t have to start from scratch by researching the market and creating a business plan. Franchises are turnkey opportunities with established products and services in well-defined markets. The franchisor will have an existing customer base and a proven business model that could help you hit the ground running.
The main difference between owning a business and franchising is that (aside from the initial franchise fee) you are usually on your own with a business, but with franchising, you have the support of the franchisor. The franchisor provides training and support to ensure your business’ success, while being responsible for trademark protection, marketing, and product oversight. This means that with franchising, you benefit from local knowledge and expertise.
What Is the Franchise Process Like?
The franchise process is broken down into five distinct steps:
- Step One: Identifying Your Goals – The first step is to identify your goals and objectives; what type of franchise are you looking for, the size, the location, the budget?
- Step Two: Research – Researching the potential franchises that meet your needs can help you make an informed decision. You can contact the franchisor for a complete Franchise Disclosure Document (FDD), an income disclosure statement, and any additional information that will help you make an informed decision.
- Step Three: Financing – Financing is one of the most important steps in the franchise process. You will need to find out what type of loans and financing options you are eligible for.
- Step Four: Training and Support – The franchisor should provide complete training and support to help you become successful. This may include operational and marketing support, ongoing training, or other resources.
- Step Five: Committee Review – The last step is to have the franchisees you choose, reviewed by a committee for final approval. This is an important step in the process to ensure that the franchise is a wise and profitable investment for both parties.
Once you have reviewed all of these steps, you will be ready to go!
What Are the Benefits of Franchising Near Me?
Franchising near you can provide a number of benefits, from building a complete business from scratch to expanding an existing business to generate new revenue. A few of the many potential advantages of franchising near you include:
- Passive Income – An investment in a franchise can provide passive income. This kind of income has the potential to last long after the initial costs have been recouped.
- Personal Freedom – Joining a franchise near you can provide you with the freedom to decide how and when you want to do business, including setting work-life balance.
- Job Creation – Franchising near you, creates job opportunities in the local community; benefitting the community and economy.
- Status – Owning a franchise near you can bring respect within the community and help you to build a reputable business.
- Growth – Investing in a franchise near you can also provide long-term growth potential.
Franchising near you is a great way to build something for retirement or build something for the future. Working with an experienced franchise consultant is a great way to find the right franchise for you.
At the International Franchise Professional Group, our experienced and ethical team of franchisors, franchise consultants, and vendor members can help you find the right franchise opportunity for your unique situation near you. We are committed to integrity, ethics, and collaboration in helping you find the right franchise near you.