Franchising Should Not Be All Business

By Author: Jaxon Kelly
Total Articles: 39
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One of the biggest things a business owner has to deal with when you are buying a new franchise is the fact that you have to deal with a big corporate structure that is already in place when you start trading for the first time. You no longer have the flexibility and freedom to trade as freely as you want, because you have chosen to operate a business under a brand name. When you own and operate under a franchise all of your business activities are controlled and monitored by the franchisor. In return for that you are given a well known brand name that people can relate to because their products are standard across the board and no matter what store you walk into, you will always know what to expect.

For most franchise businesses you often have to pay a large setup fee to get the business started, but it is usually meant to cover the furniture and shop fitting. Smaller ones like franchise.ellabache.com.au are far more cost effective to opt for because they haven’t got a very set up costs. You can even set your business up from home and operate from there. That ...
... way you don’t have to pay additional rent for the extra premises. If you are looking for a business that won’t cost a lot to set up to begin with, then you need to keep in mind that the only ones that don’t have big set up fees are the ones that can be run on a mobile basis or simply do not require a store presence in order to trade with the public. Everything else comes with a price tag and the more you need, the bigger the tag. You may also be required to pay a royalty fee to the head office on a monthly basis. The fee is based on a small percentage of your monthly turnover and in return for that fee you get marketing materials and advertising on all the major media channels. They offer full back office support so your books are managed correctly, and all your staff are well trained to handle any problems they might encounter throughout the day. They are also ready to deliver top quality services to all of your patrons at the drop of a hat.

The whole idea behind a franchise is to offer people a chance to start a business for themselves, based on using a proven business system that is guaranteed to work as long as you locate it in a good place where there is enough traffic to keep your business going.