Other Things to Consider

Choosing a location:

Bookkeeping tools:

Franchise development:

Because starting a business can be risky and costly many individuals and investors choose to become franchises, which has a proven record. Franchising is the arrangement between the owner of the business (franchisor) and individual (the franchisee) to allow the right to utilize its business process and business name to sells the products or services.

Things to consider when thinking of starting a franchise:

  • Advantages
    • Training
    • Probability of success/minimized growth risk
    • Operating benefits:
      • Location feasibility study
      • Marketing assistance
    • Easy expansion capital
  • Disadvantages
    • Loss of independence/ innovation challenges
    • Restrictions on business operations
    • Products sold
    • Hours of operation
    • Franchisor only source of supplies
    • Franchise costs
      • Initial franchise fee
      • Investment cost Royalty payments
      • Advertising cost

Learn more about buying an existing business or franchise.

  • For companies selling franchises and business opportunities and entrepreneurs in the market, the FTC’s Franchise Rule and Business Opportunity Rule mandate disclosures and offer buyers certain protections. In addition, the Federal Trade Commission (FTC) has resources to help people spot business opportunity and investment scams and avoid franchise taboos: Franchises, Business Opportunities, and Investments
  • FranNet: Free consultation on franchise development