Choosing the right franchise model for your business can be a life-changing decision. Most industries across America are linked to some form of franchise business and choosing the right one in the right business will come down to your personality, goals, and long-term passions.
While a franchise will allow you to be your own boss and take control of your financial future, there are some factors you need to consider over the long term.
The major benefit of buying into a known franchise is the support network, operating systems and, in many cases, awareness of the brand. A major franchise shall, also, be able to provide marketing insights, establishing yourself in the market, brand strategy, and customer acquisition. The initial contact with the franchisor shall give you a sense of how they conduct business.
The costs of a franchise can vary depending on the nature of the franchise. A franchise business loan can cover part of the expense and some of the aspects you need to consider for the business including:
- Real estate and initial fit-out costs
- Franchise fees
- Additional inventory costs and operational costs
- Attorney fees
Some of the initial financing options will include financing from the franchisor, as well as commercial bank and SBA loans.
The right franchise attorney can assist you with minimizing costs over the long-term and assisting with an agreement that includes a comprehensive exit strategy. Also, often lawyers know a great deal about the reputation of certain brands. Use the lawyer early and before choosing your brand.
Take the time to speak with other Franchisees
A potential franchisor should have no issues with you connecting with other franchisees within the organization. Anyone who isn’t willing to do so would raise an immediate red flag. Take the opportunity to research online and read the reviews. Join as many of the networking opportunities as you can and speak to other members. This is about deciding your financial future.
Also, never forget. Your time is your most precious asset. We can not make more time, we can make more money. Utilize resources in assisting you in doing things that you are not good at, not experienced at and that you believe is a waste of your time.
Sean Hayes is a top-rated AVVO attorney who has more than a decade of experience working with major franchises in the US and Asia. Schedule a call with the team at Hayes and Simons PC. to learn how we can help your business succeed in New York.
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