Franchise Business Vs Starting a Business- Which Way to Go?
Starting up a business is a primed decision that can change your present and tomorrow. If you are ready to give your 100% in steering a business, there is no looking back. Once an individual takes the decision, the question becomes what type of business model should be opted for.
Either you can go for a franchise model and be a part of a proven system with the established brand authority. The other way is to create your path from scratch. Both methods have their specific promises as well as perils. Are you passionate enough to give your Business- business model and business decision – an honest try? If yes, let us begin with weighing the benefits of one over the other.
Before you begin, here is a set of questions to start with a self-assessment.
- In which category do you fall- happy to follow a prescribed system or needs complete freedom to innovate and experiment.
- Are you looking for a ready-made system, or do you require total independence in every aspect?
- There is a price to pay! Whether you opt for a Franchise model or choose to set up your own. What type of investment are you comfortable with?
And, you are half-way done to make an informative decision. To unwrap the real potential of both types, here is our take on it!
Weighing the benefits of Franchise Business and Starting your own business
|Benefits of Franchise Business||Benefits of Starting own Business|
|Can start earning profit with royalties||Grow slowly in the inception phase|
|Can have a pre-owned brand value||Needs time to establish a brand presence|
|All the processes are already in place||Processes need to be set-up with time|
|Lighter head management can be done||Aggressive management is required|
It might help you realise that starting your entrepreneurial journey through Franchise Option is a good fit in the market.
Still not convinced? Let us discuss the perks of picking up a profitable franchise option over a traditional business setting.
The brand : Name, Value & Trust
A renowned franchise option gives you assurance about the vast customer base and trust. No matter where you are, you will get customers if you are starting up with an already established brand name. . That is known as the Franchise proposition of uniformity and replicability. Your customers know about the services and have given their trust vote to your services. Word of mouth is enough to retain maximum customers for your business.
On the other hand, if you startup with a new business, the challenge to bring the random customers through the first impression is real. You might need to compete with an already established brand name. However, if you are true and superior to your services, your growth and sustainability will occur. But this process will take time.
Standard of Operations- The framework to run a business
When you start a business, you need to follow a set of rules and processes. Would you rather begin from the inception or opt for one ready-made? If you have out of the box creativity and are ready to take the risk, opt for setting up your own business. However, looking at the risk ratios, you can choose for Franchised business. The profitable franchise business offers you complete, ready to launch SOPs. In simpler words, you need not to worry about flying alone. You have a professional team to rely on.
The marketing – Third wheel to grow with speed!
You can have all the fancy equipment, a rich manpower and a skilled team to get started. But, as mentioned earlier, your business will take its own time to grow. Apart from time, you need to put a decent investment too to market your brand. Or else, you can choose an easier way. Sign up with a Franchisor, use his brand value and create your market. However, you are always open to choose your own marketing strategies to pitch your target demographic.
The flowing revenue- The game of numbers!
Either you are a one-man army or are a troop to establish your business, all that matters at the end is money. If you pick a low cost investment opportunity for your franchise business, you are half-way done to earn money. Your first two funnels of leads will automatically come to your business. And as you start nurturing those leads into a precise manner, the cask starts pouring in terms of revenue. As a franchise business, you already have ready-made customers in the market. All you have to do is identify them and convert them into revenue. On the contrary, while you launch a startup, you need to start from the top of the funnel. From seeking the customers’ attention to building up trust in your services- everything needs to be done stage-wise.
- Starting a Franchise business assures you and guarantee to enter the competition
- In a Franchise model, it takes less time to win the customers heart with your services
- You have a specific set of SOPs to launch your Franchise Business
- Franchise Model is a “ plug and play” option to start your entrepreneurial journey.
Looking to get in touch with the industry’s experts? Everyone has limitless options to grow and become successful. Find yours!