Archive for February, 2009
Thursday, February 26th, 2009
Franchising is perhaps the easiest way to have your own business nowadays. With enough capital, you can have your business set up in just months. This is compared to the length of time that you will spend when you are putting up your own business.
This is because with a franchise, you dont have to develop your own product and create your own system. All you have to do is to find the people that will serve as your manpower and then manage the business. The franchise company will provide everything else, from the product to the manpower training.
Still, putting up a franchise is not as easy as it seems. Although everything is basically provided for you, the franchisee will still need to be operate and manage the business themselves. Only the start up is provided. Everything else will depend on the management of the person who bought the franchise.
Below are some of the key elements of a successful franchise. Some are provided by the franchise company while the others would come from the franchisee. A successful franchise is actually a marriage of the elements that will come from these two sectors, the franchise company and the franchisee.
The product or the service
For a franchise to be successful, heck, for any kind of business to be successful, all you need is a product or service that consumers will like and purchase. That is why this is one of the crucial elements of the franchise. Your product or the service that you offer can actually determine the success rate of your business.
It is important then that you like the product that you have franchised. When choosing what to franchise, sample the products. Find the one that you really really like, chances are, other people will like them too! Besides, if you believe in your product, it will be easier to sell it to others.
The employees
Although some franchises do provide the manpower for a franchise, it is still important that you hire your own people. Employees that you have handpicked yourself will feel a sense of loyalty towards you. It is also good to hire people that you know or those that are recommended by people who you know. That way, they can vouch for the person’s trustworthiness, honesty and work ethic.
Training
Before you let the people that you have hired work, it is important that they first undergo official training from the franchise company. Although you can actually do the training yourself, it is still important that you send them to the company. You cannot teach them everything that they need to know.
Location
Another crucial element is the location. A product no matter how good will not flourish in a place where there are no people. In choosing a good place for your franchise, you have to consider your target market. Who will usually buy your products? Who can afford to buy your products? Another factor is the foot traffic. Who goes there? Are there many people in the area who can potentially buy from you? Often the franchise company can do some initial research for your location.
Commitment
This is another important thing in putting up a franchise or any business for that matter. You need the commitment to see things through even if it becomes so hard.
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Tuesday, February 24th, 2009
Have you always wanted to start your own business, but never got around to doing it? Maybe you lack the creativity to develop an original idea, or maybe you don’t have the time to research which services are needed in which areas. If this is the case, you might want to consider owning a franchise.
Franchising can be beneficial to both the franchisee and the franchisor. It allows businesses to have numerous sites up and running in multiple areas, reaching more people and creating the potential for a greater profit. Franchising also allows a person who wants to be self-employed an opportunity to do so without the initial obstacles of a startup business.
Before starting a business, there are certain necessary steps to take that can make the process difficult and time consuming. These steps include naming your business, creating a vision for your business, developing your business’ mission statement, defining goals and objectives, considering strengths, weaknesses, opportunities and threats, creating both a strategic plan of action and a financial plan, and evaluating your plan.
Owning a franchise eliminates the first six steps, as they have already been done. Franchised businesses have already been named. The vision and mission of the business have already been set and put into action, and usually, business owners research demographics before allowing a franchise to be opened in a specific area.
It is, however, important to do your own research before choosing a franchise to purchase. When choosing a franchise, it is always important to consider the expenses. You may also want to consider your likes and dislikes, as there are many available franchise opportunities, including fast-food restaurants, gas stations, clothing stores, etc. Once you’ve developed a list of franchises that interest you, research the companies. Every U.S. franchise offers a UFC (Uniform Franchise Offering Circular). This outlines the company’s history, costs, fees, and training and marketing programs.
When purchasing a franchise there is usually a one-time initial fee. This fee can be anywhere from $10,000 or less for smaller businesses, to over $250,000 for larger, well-known companies. Many larger companies require a franchisee to posses a certain sum of money in personal, non-borrowed, liquid assets (assets that can be sold rapidly with minimal loss of value, in less than 20 days). These include stocks, bonds, savings accounts, etc. A house or a car is not considered a liquid asset.
Other smaller companies will allow you to purchase a franchise using a bank loan, or a business cash advance.
After purchasing a franchise, you may also be required to pay royalty fees and/or advertising funds. Royalty fees are on-going payments that may either be taken as a percentage of sales or set up as a fixed amount. These fees are used to pay for the services and support of the franchisor. Advertising funds are used to promote the entire chain both nationally and regionally. These fees will vary from case to case, but they will be addressed in your individual franchise agreement.
Franchising can help you gain business experience. You can learn the ins and outs of being a business owner without actually starting from the bottom up. Therefore, if in the future you decide to pursue opening your own business, you will be prepared.
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Monday, February 23rd, 2009
When most people think of cleaning businesses, they normally picture a maid cleaning a house. However, businesses in both retail and industrial have the need for regular cleaning and maintenance services. Even in times of economic downturn, commercial cleaning franchises thrive. Businesses always need to present themselves well to the public and cleaning services are a big part of that. If you buy into a commercial cleaning franchise, you’ll be joining a $94 billion dollar industry that has no signs of going away.
Consider the following facts when trying to decide if a commercial cleaning business is right for you:
* In the next decade, the fastest-growing occupation will be a professional cleaning specialist
* Commercial cleaning franchises account for 10% of the total market in the United States
* Over 30% of cleaning industry customers are office buildings
A commercial cleaning franchise is recession proof and the sky’s the limit when it comes to customers. With a large enough staff and the training provided by your franchise’s corporate office, in a few years you could dominate the market in your area.
Octoclean is a commercial cleaning franchise that has been in business for the past 18 years. Over the last five years, it has experienced a 30% increase in gross, giving it brand-name recognition across the country. This commercial cleaning franchise offers cleaning and maintenance services to businesses of all sizes. It has a relatively low initial cash investment for a commercial cleaning franchise. As an Octoclean franchisee, you’ll get training in running this specific type of business as well as marketing and financial assistance.
1-800 Dry Carpets has been in the industry since 1992 and is an innovator in the world of carpet cleaning. This commercial cleaning franchise allows you to offer a low moisture carpet cleaning system that is organic and less messy than traditional carpet cleaning. Swedry carpet, the system used by 1-800 Dry Carpets, deep cleans without excess moisture which means that your customers can get back to work quickly. One thing that sets apart 1-800 Dry Carpets from competitor commercial cleaning franchises is that the company handles all the telephone calls and appointment setting for you. They believe your time is valuable and you don’t need to spend it on the phone. Instead of worrying about making appointments, you can concentrate on serving your customers.
Workplace Essentials is a commercial cleaning franchise that focuses on one of the most essential parts of any office — the restroom! As a Workplace Essentials franchisee, you can rely on 20 years of experience from the company. You’ll have repeat business from clients for janitorial services on a weekly or biweekly basis. You also have the convenience of a centralized billing system as well as franchisee training. All of these factors make this a smart choice if you’re looking for a commercial cleaning franchise.
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