To Franchise or Not To Franchise

I have had several discussions with family members discussing the advantages to a Franchise, and mostly about what can go wrong. I have worked for a franchiser and saw the great advantages as well as the failures. The primary concern when looking for a franchise is to look at the inherent business principles. The Franchiser should be able to show a solid financial performance and growth projections. You should not become involved with just a good idea, with the possibility for growth. The Franchiser is providing you with an idea, they should not be selling an idea. They should be able to prove their model works. As a Franchisee you have the opportunity to expand upon a solid idea and reduce your risk. There will always be a risk of failure, but by ensuring that the Franchiser is selling an intrisictly important business will help reduce risk.