It?s really easy to figure out which franchises are the most successful. You see them advertised on television and on billboards, hear them advertised on the radio, and cannot drive by way of a shopping center anywhere in the US without passing a number of of them.
Not only do you know who they are, you likely have been in a number of them so many times that you know exactly what they must offer. These franchises, quite simply, have succeeded wildly in branding their products. What exactly are they?
Franchise restaurants, of course. Anybody borne after 1955 probably cannot remember a world in which McDonald?s didn?t exist, plus they were only the beginning. When you are one of the thousands of people thinking about breaking away from the nine-to-five routine and starting your own business, you can do much worse than a franchise restaurant.
Why? Because given the choice of trying to establish a loyal customer base for a fresh, unfamiliar product of your own choosing, and choosing a restaurant franchise with food already familiar and which can keep the customers returning, the odds are definitely privately of the franchise restaurant.
The Pros and Cons
There are, needless to say, big risks in starting a restaurant of any sort. Only those who have a genuine love for the business usually stay with it long enough to generate a profit; whilst having a franchise restaurant may ease some of the concerns, there are some realities you have to face before you start.
First, buying a franchise restaurant can be very expensive; they can include actually buying the land on which you will build your operation. You may be able to get help with your financing from the franchisor, and banks also recognize that a restaurant franchise is one of the less risky small businesses, so may be willing to give you favorable terms.
On the positive side, you should have the advantage of selling only those foods which are proven moneymakers, in order to limit your inventory, which will be ordered from the parent company?s preferred suppliers. You as well as your company?s other franchisees in your community can share the costs of joint advertising. For more information see http://www.startfranchisehelp.com/Franchise_Broker/ on Franchise Broker.
On the downside, be prepared for long hours at your franchise restaurant ; as a franchisee you will have certain standards, both service and financial, to keep up, and you will be giving regular reports to your franchisor. Assuming you have personnel shortages, you and your family members will need to fill the gaps.
You can almost depend on having personnel problems; low pay and unchallenging work can make it hard to keep employees for extended periods. Restaurant employee turnover is incredibly high. But if you as well as your family are willing to supply the elbow grease, your likelihood of succeeding with a well-established franchise restaurant are much better than they would be in any business you could start.