4 Reasons You Should Franchise Your Small Business
If your small business has already established a strong brand name and identity, then it’s time to look at the possibilities of expansion. Owning a franchise not only benefits the franchisee, but also benefits the franchisor in many ways. As it turns out, franchising is often the key to an entrepreneur’s success.
Here are four ways franchising your business can benefit you:
Franchises Offer Ongoing Support
One business is already enough for one entrepreneur to handle all the training and operations, but allowing a franchisee to open your business elsewhere can provide a completely new support team to grow your brand presence.
Your Business and Brand Becomes More Prevalent
When your training procedures, management and support team all follow the same business model, your brand will appear consistent to consumers. Consistency and quality that your business provides will attract more consumers to your franchise and creates brand loyalty across all locations.
A Franchise Operates Better Than a Company-Owned Business
When a company runs a business using just employees, it puts the brand and capital at risk. Why? Well a franchisee has a lot more to lose because they invest in your business in the first place, making franchisees more motivated to perform their best.
Your Marketing Budget Increases
Having franchisees helping to make your business known makes a big difference in your marketing already. But in addition to expanding your business, you can ask your franchisees to contribute a percentage of gross sales to an advertising fund, giving you an increased budget for advertising regionally and nationally. So in the end, everyone wins.
While franchising offers a “friends with benefits” relationship, the “business marriage” between a franchisor and franchisee is a big commitment. Are you ready to take the franchising plunge?