Entrepreneurs are some of the most celebrated people in Western society. This is mainly because we all dream of starting our own business with no money and ascending to the heady heights of the millionaire lifestyle; every year, thousands of people set about making their own business dreams come true and most fail. Yet these failures are still celebrated as 'eccentric' or 'a good try'; it's better to have tried and failed than not to have tried at all, after all.
So why is it that people who choose to franchise their own business aren't quite as celebrated as entrepreneurs? Perhaps it's because they operate under the banner of a wider company but there are a lot of similarities between franchisees and straight-down-the-middle entrepreneurs, including the fact that both oversee the day-to-day operations of their own business.
However, the distinct lack of celebration for hard-working franchisees in contrast with the high-flying glamour of the entrepreneurial lifestyle can make the latter route seem far more appealing. If you're currently thinking of starting your own business, don't be blinded by this idealistic view of starting from scratch; franchising, too, offers some unique advantages.
Easier To Secure Funding For
In the current economic climate, securing funding for a largely speculative venture is incredibly difficult as banks simply aren't willing to take the kind of risks they were in the past. In contrast, lenders will be willing to loan money to someone with an established brand with an established track record behind them. Running your own business under the banner of a brand with a proven business model that works makes securing essential funding a lot easier.
More Support
One of the most daunting aspects of starting your own business from scratch is the lack of dedicated support for your particular business - as you are pitted in direct competition with other business operating in your field, you'll probably find them less than willing to dish out advice.
Franchisees, by comparison, benefit from a whole network of people who've been through exactly the same experience and will be more than willing to advise on issues relating to the business as your success directly impacts upon them. Similarly, a franchisor will also be on hand to steer your business to success.
Quicker To Get Off The Ground
A common misconception among potential entrepreneurs is that starting your own business is as easy as coming up with a great product, registering a name and getting to work. In reality, there is months worth of paperwork to fill out and legal loopholes to jump through; actually getting to work is an arduous and long process.
Franchising, while not a direct-to-market solution, is a much shorter process; with a business model, branding and a store in place, all getting to the marketplace requires is extensive training and proving yourself as a franchisee!
More Likely To Succeed
While it's not an absolute given that a franchise business will survive where a startup would fail, franchise businesses offer an excellent chance at succeeding in business despite a competitive market. The established business model and marketing of your franchisor will have succeeded in other markets, which is why they are looking to expand. With this proven track record of success behind you, your own chances of succeeding improve too.
So franchising; while there are some creative compromises to be made and a certain degree of control to relinquish to your franchisor, there's no doubt that opening your own franchise represents a fantastic opportunity to be your own boss - and make a lot of money in the process.
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