The philosophy behind franchising tells itself why many people explore it as a career option. It’s simple; a practised system means fewer mistakes. Everyone wants a certainty when it comes to short term or long term financial goal. How do you decrease the risk associated with franchise business? You join practised system and you follow it. While there is no guarantee of success in any business, only franchising allows the franchise owner to obtain the proven business tactics to determine the best ways for success.
Expertise and support
On the same lines of big corporate structure, there is a web of leadership with in franchise business which provides perfect knowledge and experience in the industry. For example new franchisee may not know how to make a perfect pizza, but within the system there are people with great skills and recipe they can train him or his staff.
As you acquire knowledge about different franchises, it would be wise to examine the major players in the company. For example, it’s always good to know about the people behind the venture. People that have past experience of same industry before joining the franchise can give the best input that you might not get.
A good franchise system will always have great module of training so you can get on track very quickly and efficiently. There will be set parameters of training and support. In same time you need to talk some existing franchisee as they are in running process they can give you better picture about training and support of franchisor.
Purchasing and Marketing efficiency
Marketing power of franchise business is much stronger than own business. All professional tools are very costly and typical but in franchise business franchisor makes them simple and cost effective due to size of franchise system.
For example, you own a standalone computer course franchise and your budget is Rs 1,00,000 per month for getting admissions in that case it’s difficult to spend same amount continuously as business is not assured but if you are in franchise system then it’s very less as company deal with ad agency on cheaper rates due to bulk advertising and at same time your city have multiple franchise centre of same franchisor then cost is equally divided in all centres that is very cheap and cost effective.
The community aspect of franchise is strongest differentiator between corporate and franchising. In corporate life is marked by politics, competition, clashes among all departments and the major focus is individual.
In franchise business both franchisor and franchisee work together and they are away from all headaches in corporate as both work on mutual benefit that’s why we say franchising is an idle marriage between franchisor and franchisee.
One of my favourite lines explains this perfectly:
“Coming together is a beginning; keeping together is progress; working together is success.