As you face the dichotomy of retirement, the consequences of a static life permanently start to take shape. You rip away from your career and daily workflow. You outgrow the sense of achievement at the end of the day. It feels like time is heavier now — and leaving you with countless questions. Where do you invest your knowledge and accumulated capital? What is the best way of staying engaged in a profession?
Recent retirees often ask themselves what franchise is best for them. Thankfully, franchise opportunities abound in almost every sector, including retail, restaurants, hospitality, retail, health and beauty, automotive, franchised travel agencies, children’s and senior programs.
At the International Franchise Professionals Group (IFPG), we’ve seen a large number of aspirational entrepreneurs looking for the right franchise to invest in. With knowledge of the franchise industry and proven methods of sourcing and vetting deep-seated potential, we’ve identified the most beneficial franchise opportunities for recently retired individuals.
The Theory of Franchise Ownership
Before delving into the best franchises to own, it’s important to understand the outlined theory of franchise ownership. Franchising is a business model wherein the franchisor grants the rights to use their business name, materials, trademarks, and products to the franchisee. The franchisor provides the ongoing support, advice, and systems for operating a business under the franchisor’s brand, and in return, the franchisee pays a franchise fee and ongoing royalties.
Benefits of Franchise Ownership
Franchising is one of the fastest-growing business models, and the majority of key players in the franchise industry are recently retired professionals:
- Franchises offer a proven system of operations and guidance from experienced franchisers who can help new owners set-up a business.
- Existing marketing plans and strategies are already in place, requiring little to no effort on the part of the franchisee.
- Franchisees typically get access to the franchisor’s supplier networks and distribution channels, significantly reducing the cost and difficulty of running a business.
- Franchises generally require less capital and come with fewer risks than opening and running a business from the ground-up.
Retail Franchises
Retail franchises are one of the most popular and least expensive franchise opportunities. These franchises come in many forms, from convenience stores to clothing stores, and offer many benefits to seasoned entrepreneurs.
Often, retail franchises come with established brand recognition, which provides a level of comfort and protection for investors. This is why several businesses in the retail industry, such as quick-service restaurants (QSRs), are often franchised rather than opened independently.
Retail franchises also typically require very little cash upfront — some require as little as $10,000. This makes them ideal for those with experience in the retail industry or with know-how on managing and growing businesses.
Food Franchises
Food franchises are some of the most popular franchises for those looking to re-engage in a business. These franchises only require a medium level of capital, allowing new franchisees to enter the space with little experience in the culinary industry.
There are various food franchises to choose from, including burger franchises, sandwich franchises, ice cream franchises, pizza franchises, and more. With locations in nearly every city and some franchises offering global growth prospects, food franchises are also for those looking to expand internationally.
Food franchises range from $15,000 up to the million-dollar range. Several well-known chains are more costly, but most require considerably less. This makes food franchises accessible to first-time franchisees with limited resources and little experience in the sector.
Summary
For recently retired professionals looking to build on a successful career or stay engaged, there are plenty of franchise opportunities to explore. With varying degrees of capital requirements, and established systems of operations, franchising provides entrepreneurs with a low-cost and virtually risk-free route to establishing a business.
Retail and food franchises offer the most franchise opportunities for those seeking a low-capital investment. Both of these sectors come with established brand recognition — reducing the amount of effort required to build a successful business.
No matter the sector of interest, the International Franchise Professionals Group can guide you through the franchise process. We offer more than 1,300 franchisors, franchise consultants, and vendor members. We’ll welcome you to our purpose-driven mission which is based on integrity, ethics, and collaboration.
Topics:
