When I refer to the names McDonalds or Dominos to you what thoughts pass through your mind? Do you think of a popular Scottish family name and a popular game played with little black wooden blocks? I would suggest that for lots of people... more



Finding the Perfect Franchise Fit
Posted by: Admin Post on July 26, 2010
Author: Douglas MacMillan

With more than 5,000 franchise opportunities available worldwide, ranging from McDonald's to day spas to dog grooming, finding the right one for you can seem overwhelming. But the process may be more accessible than you think.

Fi... more



Are Entrepreneurs Born or Made?
Posted by: Admin Post on July 26, 2010
Author: Karen E. Klein

My opinion is that one does not have to be a "born entrepreneur" to succeed, but it certainly helps. Innate tendencies seem to make certain people more likely to take risks, more able to identify and act on promising business opportuniti... more



What a Buyer Looks for During Due Diligence
Posted by: Admin Post on July 22, 2010
Author: .

While "due diligence" can be used to describe several different investigations that anyone party to a contract might carry out before signing that contract, in the case of a buyer considering taking over a business, the due diligence pro... more



Franchise Overload
Posted by: Admin Post on July 22, 2010
Author: The Franchise Guide

Going into the franchise business might be a very good idea for you as it is one of the popular methods of doing business today but when you do a search of the available franchise opportunities, choosing one among the hundreds might be a... more



The Truth About Buying a Franchise in Your 20s
Posted by: Admin Post on July 22, 2010
Author: Sara Wilson

When Justin Kopelman was fresh out of college, he didn’t interview for jobs or choose a set career path. Instead, he tried his hand at entrepreneurship and purchased a Pita Pit franchise. At 29, Shawn Ligon struck out for business ... more



Navigate the Paper Trail: What Should the Franchise Agreement Include?
Posted by: Admin Post on July 21, 2010
Author: Entrepreneur

The following information is inherent to an agreement:

It states that you're a part of the franchise and have a certain fixed fee to pay as part of the consideration. It has location provisions. The company will have the right to...

Have you considered being your own boss, making an assertive business move, and changing your life?  Becoming a franchisee is exactly what you have been thinking about.  One of the better things about adopting the mindset of an...

Arbitration clauses in Franchise agreements are becoming the norm, but is that a good thing from a franchisee’s perspective? Some franchisees hold the belief that, since the franchise agreement is drafted by the franchisor, any...

When looking for a potential business or franchise there may be many questions that one asks themselves, we are going to look over one of the major mistakes that has been attributed to the franchise ideas not working and the potential...

Franchising can allow your business to grow at rapid pace, and gain a presence in new markets. Although there are disadvantages to franchising your business, and although it will not suit all business models, franchising is often an...

Franchisees need to dismiss the notion that ‘royalty fees’ are an extra payment coming out of their pocket; they are a part of the process of partaking in the franchise system.  It should be looked upon as the Franchisor...

Widespread job losses combined with strong regional demographics have turned metro Denver into a popular spot for franchises.

But even though many people who've lost their jobs want to go into business for themselves, getting...

A handful of national franchise brands – ranging from service retailers to restaurants – are offering big startup cost discounts and bigger royalties to new franchisees who live in ‘hot’ areas. And North Texas is...

Considerable discussion and research has gone into survival rates of franchisees. Websites selling franchises often tout how much safer operating a franchise is when compared to starting an independent business. The table below is a...

In the business world, no method, no magic formula can guarantee success or bring success with no efforts.

Franchising reduces risks, speeds up success, allows copying formulas that work, gives the possibilities to avoid mistakes...

Below you will find some interesting facts and stats about the franchising business industry in the USA that validates the major role the franchise business model plays in our national economy.
 
Popular Franchise Facts...

Many Americans dream of starting their own business. In 2008, more than 27 million small businesses were active in the United States, and more than 600,000 new businesses are started each year. One of the first decisions for any...

When it comes to starting a business, many people think of buying a franchise as a shortcut to success. While there is some truth to this, not all franchises are created equal, and not everyone is cut out to be a franchisee.

There are many factors to consider when weighing taking over an existing franchise vs. opening a new one. Obviously, the territory may already be sewn up by the existing franchise, so the question becomes how badly does the potential...

When deciding which franchise is right for you, you may wish to take into account the advantages and disadvantages of large franchise versus small franchise systems. What can you expect from each type?

Large Franchise Advantages

After you've received all the documents from the franchisor, you'll enter a preliminary negotiation stage before you sign. This is the most critical period in your dealings with the franchisor. At this point in time, you'll meet a...

Finding the best site for your new franchise unit (assuming your brand is not mobile or home-based) is a critical decision, one that should be based on the cold, hard facts--the numbers. Finding those numbers is easier today than ever...

A franchise is a clone of a successful business. The franchisor has developed a system for reproducing his business (often right down to the last detail). As a franchisee, you rent the franchisor's trademark and method of doing business.

Franchise businesses are businesses structured with a franchisor who licenses specific trademarks and methods of doing business to a franchisee in exchange for recurring payments in the form of franchise fees.

A franchise operation can be an excellent investment for people dreaming of self-employment. Franchise opportunities fall into three basic categories: Product, Service and Wholesale Distribution. The franchise you select must be one that...

If you are thinking about purchasing a franchise, keep the following 5 tips in mind.

1. You are a customer to the franchisor. Many people believe that going into a franchise is like joining a partnership where you, the franchisee...

Q: I am in the process of buying a franchise and am curious. What exactly am I supposed to get for my franchise fee?

A: Let's start with some basics.

In the language of franchising, when you use the phrase...

At first glance, it would seem ideal if a franchise does not require a royalty fee. And in fact, there are various franchise opportunities being offered today that do not have royalty fees attached. These opportunities would boast that...

Development formats and agreements in franchising can be divided into two broad categories: Single-unit franchising and Multi-unit franchising

Single-unit franchising: an arrangement by which the franchisor licenses the...

It used to be that when someone turned 55, he or she was considered on the downhill slide into retirement. But today, 55 is the new 35. People in their 50s now realize they’ve got a lot left to offer and experience, and...

This is an interview with a lady who has done her homework in investigating the opportunity that franchising will provide her in starting up her own business.

1. What is your career position at the moment?

Picture an excited new franchisee ready to join a growing franchise system. This new franchisee has already made a life-changing decision after searching for the right concept and the right company. He strongly believes that the...

Have you found yourself getting up in the morning and dreading going in to work?  Is it because you’re tired of seeing that person with the sly, affected, and insidious smile?  I know – that horrific person is your...

There is no magic formula for small business success, but most owners who do well share the same six personality traits, according to a new report.

The Guardian Life Small Business Research Institute report hopes to explain why...

Although most individuals execute the franchise agreement in the name of a corporation, franchisors typically require a personal guaranty by the shareholders of that corporation. This prevents the owners of the franchisee entity from...

Is your franchise agreement coming up for renewal?

If it is, in order to continue in business, you will have to sign a new franchise agreement when your old agreement expires. The renewal provision of your agreement may be a...

Yes, but again, this can vary by franchise concept. Many franchisors will sell area or master franchises within a certain specified territory. These larger territories can be costly. If you own a single franchise and are successful, most...

Are you happy in your current job?  The average worker puts in 40 hours a week… at least.  If you are getting 8 hours of sleep each night, you are at work for at least half of your waking life during the workweek.

Before You Begin

You've carefully evaluated yourself and built an individual model that can be used to determine if a Franchise opportunity has the attributes you want. You know what you need to find in a franchise business to...

When you are searching for franchise ideas and investing in a business, make sure that you are aware of what your rate of investment can be. Many good investors, whether it be on the stock exchange or property always know their possible...

Although it may not be immediately evident, a franchise company is under no obligation to award a franchise to just anyone who can afford the franchise fee.

Like any good business, a franchise company will want to populate their...

George Miksovsky spent over 30 years working in the electric utility business. He had broad experience in the industry, from customer service to distribution. However, like so many these days, he was a victim of downsizing.

If you are considering a Franchise as your next career move, you probably already understand a number of the benefits to being a part of a franchise system. However, as each franchisor will offer different levels of assistance, it can..

The decision to award a franchise is highly influenced by territorial considerations. Very often, the franchiser will seek partners in specific locations, where their business might be unrepresented. So, when you sign up as a franchisee...

Want start a franchise business but don’t know where to begin? This is a big decision for any entrepreneur and a lot of thought and planning must go into it. You need to consider several factors before you start a franchise...

Once you have decided a franchise is the right route for you, how do you choose the right one? To choose the franchise that is right for you and that will fulfill your business dreams, you must know yourself, your skills, and your dreams...

Tell me what is wrong with this sentence:  Franchising provides the opportunity for entrepreneurship.  It is grammatically correct and “entrepreneurship” is a “real” word; so, where is the error?

Franchising may have been around since the beginnings of humanity.  Albert Singer gets the credit for establishing the first “commercialized” franchise, but historians believe similar activities could have existed well...

If you're considering “buying” a franchised business in Canada and you live in Ontario, Alberta or PEI (and soon, New Brunswick), consider yourself lucky because they have specific legislation that protects franchisees.

Millions of workers are quietly toiling in their cubicles and dream of breaking free from corporate culture. Almost a quarter of full-time or part-time working Americans have considered leaving a job to become self-employed, according...

College buddies Dan Ketmayura and James Kim have gone from selling high-tech know-how to serving up sushi. The pair bought a franchise in Milton after being laid off last year. Instead of waiting on the recovery to yield more corporate...

People who buy franchises are among those creating new American jobs—about 36,000 this year, according to the International Franchise Association. The trade association, which represents about 1,250 franchise companies and 10,000...

Franchises play an integral role in our lives and American society in general. Most likely, you're a frequent customer at the local Subway franchise. Or you know people who have found success through franchising. Perhaps you've even...

Once you have decided to invest in a franchise, step back from the excitement of going into business for yourself and make sure the franchise of your dreams is all it promises to be.

You may have been working with a...

Despite best efforts, there may come a time during a franchise partnership where franchisee and franchisor disagree. This is a reality in any relationship. Maybe you disagree with how national advertising dollars are being spent, or...

The franchisee/franchisor relationship is a unique one. It differs significantly from the average “employee/employer” dynamic in various ways.

Over the course of 16 years, I’ve been both a franchisor and a...

At one time, a good credit score and the backing of a big franchise name was enough to secure funding for a new franchise venture. But these days, credit is so tight that many dreams of franchise ownership have had to be put on hold.

For years I've been reading articles about franchisors' desire to select franchisees that are not too entrepreneurial. Recruiting business people, who are interdependent rather than independent. Of course, there is some truth to this not...

The economy is on the mend. The government has launched a boatload of programs to get small businesses financing. President Barack Obama has urged banks to give the companies a "third and fourth look" before rejecting them for loans.

FAST-FOOD firms have to be a thick-skinned bunch. Health experts regularly lambast them for peddling food that makes people fat. Critics even complain that McDonald’s, whose golden arches symbolise calorie excess, should not have...

So you got the franchising bug. You heeded the calling to go into business for yourself. But you decided you didn't want to go it alone and you've teamed up with an operating partner to launch the new unit. It's now time for a reality...

Whether buying a franchise or looking to franchise an existing business there are numerous issues to consider. One seldom mentioned but important area affecting prospective franchisees and franchisors is deciding on which type of...

Starting a franchise business is the safest and easiest way to enter the business world and enjoy success. Well, once you have decided upon a new franchise business that is likely to provide a high ROI (return on investment), the next...

You’ve probably heard the term “turnkey” many times and may have wondered what it means in terms of franchising. Turnkey basically refers to a franchise package so complete that everything you need to start the...

There are many advantages to getting help from a professional who knows the inside workings of an industry or issue. Just having someone who can help interpret the jargon associated with a topic that is new to you can be a tremendous...

If you were trying an aerial trapeze stunt for the first time, would you do it without a net and safety harness? Probably not because chances are very good that you would fall. The same holds true for business ownership. If you've never...

Over the past 15 years, Jim Idsardi has found success owning numerous businesses, however becoming an entrepreneur wasn't the career path he originally planned on pursuing, "I studied accounting in college, and I wanted to become a DEA...

Investing in your own business can be one of the most critical decisions one will ever make. The challenges are enormous physically and emotionally. Even finalizing a decision to own one's own business is daunting in itself. Many budding...

WASHINGTON, June 15, 2010—A new law in Oklahoma recognizes the important role that franchised businesses play in the economy and clarifies the definition of franchisees and employees, the International Franchise Association said to...

Owning a franchise is often depicted as being in business for yourself, but not completely alone. Franchise owners work under a proven successful business structure. They also have access to proven operational and marketing strategies...

You know, it’s kind of funny.  I very often have people ask me for a business that no one else has.  Something unique, or different from everything else out there.  And I understand the thought behind it, too.

1. Select a franchising company that is primarily interested in distributing quality products and services to ultimate consumers. Although this rule may seem obvious, many (if not most) franchising companies are primarily interested in...

Low consumer confidence, fickle consumer spending, unpredictable commodity costs, and tight credit markets are all causing distress throughout the franchise industry and injecting new stress into the franchisor/franchisee relationship.

Recent fast-food litigation involving Burger King raises interesting issues on the rights of franchisors to mandate prices with its franchisees.

Burger King claims it has the right to mandate a maximum price of $1 on double...

Owning a franchise is generally considered to be the safest route to success for the aspiring entrepreneur compared to an independent business. This is due to the high success rate of the franchise business opportunity because of...

The first factor that should be taken into account is, are there enough people or businesses in your area to sustain your franchise ideas? If the answer is no, then research local developments, such as new industrial parks or housing...

Imagine a well-run franchise as an orchestra. All of the musicians are attentive, working together and following the conductor’s lead to make a beautiful piece of music. Then, imagine what it would be like to be part of such a...

When Remi Tessier recently decided to open a pizza franchise, he got a big surprise: it was not going to be easy to get financing from a bank.

Mr. Tessier had owned a liquor store for nearly a decade. He had a good credit score...

Opening a franchise business is widely regarded as a very effective way for the average entrepreneur to minimize their risk when starting a new business. In general terms I would agree that this claim is accurate. However, don’t...

Is the franchisor a one-person company? or
Is the franchisor a corporation with an experienced management that is well trained?

Is the franchisor offering you an exclusive territory for the length of the franchise? or...

Financing for franchisees continues to be an obstacle to the growth of franchise brands. Conventional lenders have pulled out of franchise lending unless the concept meets very stringent criteria. The International Franchise Association...

As the song by Joni Mitchell goes; " I've looked life from both sides now," and, I have. (The song was part of the opening ceremonies at the 2010 Canadian Winter Olympics, and keyed my imagination.) After spending more than three...

Franchising has had an unquestionable impact on many countries economies and is widely acclaimed for its contribution to GDP, retail sales, job creation and training. Many chain operations utilising franchising have grown large franchise...

The Franchise Disclosure Document (FDD) - An Overview

If you're serious about buying a franchise, at some point you're going to receive and review a Franchise Disclosure Document (FDD). The purpose of the FDD is to give the...

Of all the offerings in the franchise market, the restaurant industry certainly offers the most choices. Any why not, people need to eat! Prospects are drawn to the restaurant industry under the assumption that since they like to cook...

In the early 1990s before he was a professional ice hockey defenseman and Olympic medalist, Aaron Miller studied business at the University of Vermont and wrote a business plan for a sports bar.

The franchising industry has undergone many changes since the concept took off fifty years ago, and one of the biggest changes is the opportunity for multi-unit ownership. This is where the franchisor grants a franchisee the right to...

During this year’s IFA Legal Symposium, I have the privilege of   moderating a plenary session panel discussion entitled “Franchise Dispute Resolution: The Judge’s, Arbitrator’s and Mediator’s...

THE mood of executives at retail firms normally moves in lockstep with that of their customers. But in America the news on May 25th that consumer confidence had reached its highest level in two years left them oddly subdued. Consumer...

The hottest opportunities in franchising are new and old. Services that cater to children or seniors will be among the most significant opportunities in franchising over the next five years, says Rob Bond, president of the World...

It's the kind of franchisee-backlash horror story that keeps a franchisor up at night. Last December, an independent association representing half the 1,800 franchisees of the Super 8 hotel chain threatened legal action to overturn an...

What's a franchise?

A franchise is a license to use a trademark in exchange for payment of fees or royalties and involves some material assistance from the trademark owner. The typical business franchise provides the franchisee...

The term franchising involves a relationship between two parties, the franchisee and the franchisor. We will start with the franchisor; they provide the guidance for the business, have an identifiable brand name, a substantial supply...

Think franchise opportunities are limited to fast-food chains? Think again.

Sure, the traditional fast-food favorites are still going strong, but some interesting alternatives are popping up as well.

Owning a franchise is generally considered as the safest route to success for the aspiring entrepreneurs compared to an independent business. This can be due to the high success rate of the franchise business opportunity because of the...

A franchisee must be a sound business person. Even if its about food or cosmetics for a franchise to be a success it is important for the franchisee to have sound business sense and keep the franchise on track.

Today the concept of franchising is getting popular day by day. And why not? Owning a franchise of a well known company or brand has got a number of benefits. New franchises opportunities allow you to own a business without worrying...

A franchise agreement is the legally binding cornerstone of a franchisor-franchisee business relationship. It spells out, in carefully worded terms, how the new franchise will be run, as well as what the franchisor's role will be. It...

Franchising has become one of the most important and effective business growth strategies in the past quarter century. Although franchise system development dates back centuries to the times when monarchs awarded territories to tax...

Finding success in franchising is not that difficult; still, the job becomes easier if you have some pointers regarding the business. Here are some top tips on how to find success as a franchisee:

• Research and research...

The phenomenal growth of franchising in the U.S. is a testament to the value of the franchise model to those interested in owning their own business. How big is franchising? A study called the Economic Impact of Franchised Businesses...

Why Interview Franchisees?

Buying a franchise is an increasingly popular way to start a business. Before you buy a franchise, however, you need to perform due diligence to be sure that the franchise is a viable business and that...

Prospective franchisees should do their homework

Unsinkable luxury liners aren’t supposed to hit icebergs on their maiden voyages, let alone plummet to the bottom of the Atlantic.  Yet, notwithstanding watertight...

If you are thinking about purchasing a franchise, keep the following 5 tips in mind.

1. You are a customer to the franchisor. Many people believe that going into a franchise is like joining a partnership where you, the franchisee...

An investment franchise is one that generally involves a high amount of investment that may require some time to realize a benefit. You can actually judge all franchise businesses an investment in one sense given that all will require so...

Raising enough capital to start your own business can be an up-hill climb, especially given today’s cautious lending environment.

Opening a franchise might be the easiest way to do it as banks swing available credit in...

In today’s highly competitive franchise food marketplace, it is no accident that some franchises have maintained a strong market position even in this very tough economy. The food service business is often living on the edge with...

There are so many important factors to consider when it comes to franchising. If you are thinking about buying into a franchise, you must invest the time into research everything you need to know. You want to make sure you are investing...

What is a reasonable rate of return on investment in a franchise opportunity? Though the question seems simple, it is still an important one, so let's analyze the factors involved in getting an answer.

If you are purchasing a restaurant franchise there are a few items you should know about that are not required to be disclosed in a Franchise Disclosure Document when you buy a franchise. Although the Federal Trade Commission requires...

If you have been thinking about starting your own business, you've probably considered the possibility of opening a franchise. Becoming the owner of a franchise is not for everyone, but for the right person with drive, determination and...

More and more the trend nowadays is for a family to come together to make a business work.

Through a survey I did towards the end of 2009  – I’ve found that the growing trend is that people are pushed out of...

In his autobiography, Mark Twain quoted Benjamin Disraeli as having said that there are three kinds of lies: Lies, Damned Lies and Statistics. Had they been involved with franchising, I’m sure they’d have made the third...

2009 was a difficult year for most franchisors, but 2010 is a new year and many franchisors are again looking to grow their businesses. Developing and implementing a "non-traditional" franchise program is one of several key growth...

Starting a business is a lot like becoming a parent. Not only do you have to prepare for your start-up emotionally and financially, but you have to be committed to its constant needs until it’s mature enough to hum along on its...

Business: The franchisor gives to its franchisees, all the elements necessary to allow them to sell the products or services to final consumers; some examples: cellular phone franchises, gift shops, restaurants, cafes, and travel...

Sometimes it seems that the longest journey in building a brand is getting off the ground. Starting a new concept or planning to franchise an existing one requires a tremendous amount of hard work, a dedicated support staff, lots of...

Clients who are contemplating purchasing a new or existing franchise in Canada are always asking how financing a franchise works in Canada. The Canadian franchise industry is of course huge and covers almost every type of business in...

The first step in identifying whether a franchisor provides financing is to review the Franchise Disclosure Document (FDD) and in particular Item 10. This section of the FDD deals with franchisor financing. Another approach is to simply...

Joining a successful franchising business is the most reliable way to open your own business. Purchasing someone’s operating franchise allows you to skip over the start-up phase when profits are usually very scarce. In addition...

Franchisees searching for opportunities have a number of choices. The best approach is to use a combination of these choices. By following this approach a prospective franchisee can increase their probability for finding the best...

Jim Denney faced a common choice: buy a franchise or start an independent company?

He was an experienced business owner in Scotia, N.Y., near Albany, who had spent a year investigating a promising franchising opportunity...

If you're considering “buying” a franchised business in Canada and you live in Ontario, Alberta or PEI (and soon, New Brunswick), consider yourself lucky because they have specific legislation that protects franchisees.

Millions of workers are quietly toiling in their cubicles and dream of breaking free from corporate culture. Almost a quarter of full-time or part-time working Americans have considered leaving a job to become self-employed, according to...

It comes back to supply and demand. Researching what items people purchase within the community -- and what items they leave the community to purchase -- is one of the first things Richard Proffer, a business development specialist with...

There are four critical factors that combine to make a good franchise system:

1. The Organization 

Does the franchise organization have the ability to develop and maintain a franchise network?  It is one thing...

Pros of Franchising

Reduced Risk

Franchising does not guarantee success, but a good franchise should help reduce the chances of failure.

A Proven System

With a tried and tested operating system, the...

Now that you've got an idea of the industry you're interested in and the financial requirement you can commit to, try visiting a franchise trade show. They're a terrific way to gather a lot of preliminary information and survey the field...

Owning your own business is an attractive prospect for many people, but it does carry a great deal of risk with it. There are many advantages to working within a franchise rather than owning your own business.

Being part of a...

Most professionals in franchising would agree that trust is a vital element in a successful relationship between a franchise system and its franchisees, whether on an individual level or between the franchisor and its franchisees as a...

A franchise agreement is the legally binding cornerstone of a franchisor-franchisee business relationship. It spells out, in carefully worded terms, how the new franchise will be run, as well as what the franchisor's role will be. It...

To improve your probability of success, you must take the time to evaluate yourself, your strengths and weaknesses, and, most importantly, the franchisor and the industry in which it operates.

The "fit" is critical. Square pegs...

Talking with thousands of franchise buyers and owners has revealed many common mistakes that kept them from reaching the best decision for their situation. Here are the most common:

A great industry assures your success. Some...

1. Understand how franchising works!
 
2. Know what your own financial situation and objectives are to determine if franchise ownership is a workable option for you.
 
3. Examine your own motives...

Sooner or later most people at least wonder if becoming their own boss would be a better alternative to paid employment. However without fully examining alternative options you can end up going from the frying pan into the fire, losing...

After spending years in the franchising industry, Joe White has seen it all -- the good, the bad and the completely disastrous.

"There are great franchisors who have failures," Mr. White says. "The reason they have failures is...

When it comes to owning their own businesses, many people are intimidated. They look at developing an idea. They think about what they love. But then they get stuck.

After all, when it comes to starting a business and building...

When the job market hits the skids, employees start looking for a little more stability. Often, their gaze lands on franchising.

In New York, more than 430,000 people make their living owning franchises, according to a report by...

When buying a Franchise, you buy a lot more than the bricks and mortar and the inventory that stocks the shelves. In fact, what you’re actually buying are the things that you can’t see and often the things that you...

Question: I've always wanted to own my own small business, but rather than having to come up with a product or service business myself I am thinking about purchasing a franchise. What kind of monetary investment would I need to make to...

In order to receive financing, a business must apply for credit at a source such as a bank, commercial lender or leasing company. With proper planning and guidance, you can greatly influence the financial institution's decision on...

Despite all the scams there are hundreds of legitimate franchise opportunities available, including home-based franchises. So how do protect yourself from the scams? It's simple: be cautious!

You need to beware of companies...

Until last March, Tami Swearingin was a division general manager in Atlanta for PPG Industries, the glass, sealant and coating conglomerate, with a six-figure salary and a sure path toward a top-tier position. Now she is driving trucks...

You should always know what you are getting into and this is a big must especially if you are thinking of signing that franchise agreement.  A mistake here or lack of foresight on your part would definitely cost you more than your...

The overall goal of a FAC is to facilitate communication between franchisor and franchisee and provide a platform for the sharing of ideas and implementation of ways to maximize profits for both parties.

In 1993 during the...

Owning and operating a franchise may be a great way to fund your retirement. Yet for more and more people who take an early retirement, it’s become a way to ease into full-time retirement. Franchising has even become a vehicle for...

More and more women are realizing that franchising can earn them some serious cash as well as allow them the flexibility to spend more time with their families.

When I first told some moms that I was writing an article about the...

In today's troubled economic times of layoffs, downsizing, and outsourcing of jobs, many individuals find themselves unemployed without enough resource to live out their years. A quick review of their retirement plans, savings and home...

Now May Be the Best Time to Start Something New

Seemingly not a day goes by without hearing about the negative aspects of our economy. With all of the negative attention, aspiring entrepreneurs should see one thing - opportunity.

Training is everything for new franchisees. They have a lot to learn about their new business, one aspect being their financials. The key for a franchisor is knowing the right time to train its franchisees on this one very crucial...

The face of the typical startup entrepreneur these days is a bit wrinkly, sporting some gray hair, and having the wisdom that comes with age. But is it a good financial move to start a business late in life?

According to recent...

One of the universal questions asked by anyone looking to join a franchise is, “Why are prospective franchisees attracted to a franchise?” The answer lies in the understanding of what motivates personal decisions...

1. What is franchising?
A franchise is a legal and commercial relationship between the owner of a trademark, service mark, trade name or advertising symbol and an individual or group seeking the right to use that identification in...

Financing for franchisees continues to be an obstacle to the growth of franchise brands. Conventional lenders have pulled out of franchise lending unless the concept meets very stringent criteria. The International Franchise Association...

Arthur Romanov and Irina Salgan opened their sixth Edible Arrangements fruit-basket shop recently to take advantage of low real-estate prices and easy-to-negotiate contractor bids.

Despite good credit and a strong track record...

What defines a qualified franchise attorney?
Good indicators of a qualified franchise attorney include:

-Specializes in franchise law.

-Years of franchise industry experience.

A number of months ago, Franchise Trade quoted author Jaynie Smith in our article Healthy Fast Food: Oxymoron or Competitive Advantage?: "If someone would create a chain with healthy food, and I don't just mean healthy food that tastes...

During the years of the Internet Boom, you could count all of the Venture Capital firms interested in acquiring franchise companies on one finger - and have change left over.  Today, we live in a different world.  Now that the...

With unemployment at levels not seen since the 1930s, many people are turning to franchising to get control of their lives back by starting their own business. And now more than ever, it is essential to make sure that any business you're...

Well, very often there is, but only you can really make that determination.  The thing is, most people consider being self-employed, but most people don’t do anything about it.  Without a proper investigation of the...

It's a fact that most franchisors are passionate about the products or services they offer, but to say that the founders of Flip Flop Shops® have a passion for their business may be a huge understatement. With more than 50 years of...

Although new franchise opportunities become available all the time, some have more lasting potential than others. In this guide, we'll take a look at those industries that offer the biggest potential for franchises in 2010 and list some...

Before Kelly Waddell, 31, and his wife, Sandra, 35, opened their Pop-A-Lock franchise in Dayton, Ohio, they went to bed at 11 p.m., and assumed everyone else did, too. "The biggest shock," says Mr. Waddell, "was that our phone...

Jim Denney faced a common choice: buy a franchise or start an independent company?

He was an experienced business owner in Scotia, N.Y., near Albany, who had spent a year investigating a promising franchising opportunity...

Attending a franchise exposition allows you to view and compare a variety of franchise possibilities. Keep in mind that exhibitors at the exposition primarily want to sell their franchise systems. Be cautious of salespersons who are...

Once you decide to purchase a franchise, it will be necessary to prepare a business plan, not only for funding purposes, but also as a guideline for running the business successfully. Moreover, the franchisor will require the franchisee...

Merchant Processing: Friend or Foe? Most franchises recognize the fact that credit card acceptance is replacing cash and checks. However, most franchises have an aversion to the perceived high cost of accepting credit cards.

Running a small business requires some level of expertise in many areas. There are management issues, marketing questions and financial realities. Trying to master all areas, or at least sort them all out, can be frustrating, exhausting...

Q: I'm looking to buy a franchise, but I'm not sure what some of the terms mean. What's a UFOC? How is a master agreement different from an ADA? What are all these waiting periods for? Why do the feds restrict franchise companies from...

Prospective franchisees report that they when they read Franchise Disclosure Documents (FDDs), they are often seized with a condition called MEGO—“My Eyes Glaze Over.” It’s understandable given the amount of...

Q: I know the franchise business is regulated, but I'm not sure how that works. Are there laws to protect me as I'm looking into franchising, and, if so, how do they work? Also, do I have any potential liability in the process of...

It is generally agreed that it is in the best interest of the franchise system as a whole that the uniform standards, methods, procedures, techniques and specifications of the franchisor’s system be fully adhered to by all...

Franchise Finance in Canada calls for both you as the owner, as well a lender, to, on a combined basis, complete the financing you need for a franchise acquisition. In Canada you could of course be acquiring a new turn key franchise from...

Are you looking to get into business? There are many options to go with. One of the best options is buying into a franchise, and in this article, we will look at the options!

Take time to read this article, and you will find some...

The franchising industry is the doorway to a world of opportunity. Thousands of franchises offer countless concepts, all with varying startup costs. And while many require a storefront and overhead expenses, a large number of them...

Not so fast, Martha Stewart.

OK, you're special. You are talented and one of the best at what you do. But that doesn't mean that you're equipped to run your own business--even one within a field or industry you've been working in...

On many weeknights last year, in the depths of the recession, Tursi’s Latin King restaurant in Des Moines closed one of its three dining rooms and pared its kitchen to a skeleton crew.

Now, all three rooms are open on most...

Jim Denney faced a common choice: buy a franchise or start an independent company?

He was an experienced business owner in Scotia, N.Y., near Albany, who had spent a year investigating a promising franchising opportunity...

Since 1979, the US Federal Trade Commission (FTC) has required that companies offering franchises for sale (the franchisors) provide potential buyers (the franchisees) with a document called a Uniform Franchise Offering Circular (UFOC).

Many franchisors are moving away from territory-based systems in favour of franchises that are site- specific or for a non-exclusive territory or marketing area. This trend occurs both in systems which involve retail premises and those...

The term "franchising" refers to a business model that's been around since the mid-1800's when the manufacturers of the Singer sewing machine first dreamed it up as a way to expand the distribution of their products.

1. Not reading, understanding or asking questions about the disclosure document.

These documents are typically long, sometimes 80 pages, but it is very important that you read and understand each item, 1 through 23, of the...

You're ready to quit your day job, and venture into the uncharted territory or working for yourself. But you are still at the point of having to choose to branch out on your own, with unique business of you own making, or to invest your...

This article has been provided by the law firm Osler, Hoskin & Harcourt LLP and examines some of the legal matters you should consider when investing in a franchise, and what you can expect to receive in return.

Before New York Broadway producers bring a production on the road, they’ll test it in a few smaller cities to see if the humor or pathos translates well to different audiences. After all, not every town sees life in the same way...

Of all the offerings in the franchise market, the restaurant industry certainly offers the most choices. Any why not, people need to eat! Prospects are drawn to the restaurant industry under the assumption that since they like to cook...

In this day and age anything can be easy, so also in terms of business. This time to start a business, you need not worry about how to make good business system, how to make an acceptable product markets and other things that make you...

Is the franchisor a one-person company? or Is the franchisor a corporation with an experienced management that is well trained?

Is the franchisor offering you an exclusive territory for the length of the franchise? or Can the...

From fast food concepts to eco-friendly businesses, franchises that occupy a unique niche in the marketplace are flourishing. By offering products and services that people are passionate about, franchises like Wienerschnitzel, the world...

When Cheryl Robinson took over the bookkeeping responsibilities at a Supercuts location in 1980, she had little idea that she would one day own and operate her own Supercuts. Today, she and husband Joe, oversee an empire of 31 Supercuts...

The beauty of the franchise business model is that it allows individuals to start their own businesses without the sweat equity and headaches associated with starting a business from scratch. No reinventing the wheel here. Hundreds and...

WASHINGTON, DC. (WUSA) -- A record turnout at the International Franchise Expo this weekend at the convention center may be an indication more people are interested in becoming their own boss.

9NEWS NOW talked with a 58-year-old...

Are you a business owner who wants to purchase and run a franchise? If your answer is yes then you would probably want the services of a franchise consultant who can provide you with its knowledge and support throughout the franchising...

As a franchise investment consultant one of the most frequent questions I receive from individuals who are considering becoming a business owner is why should I buy a franchise versus starting a new business from scratch. My answer is...

Making the switch from being an employee to being a franchisee is a big change. And no matter how excited you are about becoming your own boss, you will face some major challenges -- both psychological and operational.

The partners in a franchise agreement are the franchisor, who grants the franchise license to the franchisee, who invests in it.
 
Remember, a franchise is NOT an independent business. The franchisee buys the opportunity...

If you like the idea of being self employed yet entering the marketplace with an already established business then a franchise might be a good opportunity for you. However, there is a lot to learn about franchises before taking a leap...

We all have some of that entrepreneurial spirit in us, even though most of us are employed by someone else.  It stands to reason, then, that most of us also consider self-employment as an option to working for someone else, and for...

At the age of 50, California Businessman Jeff Gilly found himself out of work with a great resume that couldn't get him a second interview at jobs he was over-qualified for. Meanwhile, the Florida coast lured 57-year-old professional...

Jodi Rowell, a Syracuse-based consultant for MatchPoint Franchise Consulting Network, says with more than 3,500 franchises nationwide, the search for the right one can be daunting.

What are some questions a potential franchise...

How Much Money Can You Make as a Franchisee?

When investigating a franchise opportunity one of the most difficult pieces of information to get from the franchisor is how much money you might make. This may be frustrating because...

So is there such thing as a franchise that won't cost anywhere from $10,000 to $500,000? Why are franchises so expensive? One of the most popular ways of starting your own business is by buying a franchise. Franchises will provide you...

An increase in first-time franchisees, many of which are laid-off workers who've received a golden handshake in the past year, is causing some experts to warn potential franchisees about exactly what they are getting into.

Franch... more



Buying a Franchise with Bad Credit
Posted by: Admin Post on April 3, 2010
Author: Kerry Miller

It's true that it's easier to get a bank loan to buy a franchise than it is to start your own business, but that doesn't mean it's easy—especially if you have less-than-perfect credit. But for potential franchisees who been turned...

Checking out Twitter the other day, I read that Taco Bell just launched its first franchise in India and that Gap has opened franchises in Australia – the 24th country where it is now franchising.

These were just a couple...

A Franchise Opportunity - What is This Exactly?

The best way to describe a franchise is to imagine it as a business that is delivered to you in a box at a certain cost and after approval. When you open the box, you will find mark...

Starting your own business from scratch can sometimes be overwhelming for first time entrepreneurs. Instead, investing in an already successful franchise concept may be a great choice for your new business venture.

The most affordable franchise is the one that allows you to franchise within the franchise. Entering into this type of franchising opportunity allows for maximum leverage. These type of franchise arrangements can have low investment cost...

Looking for the best franchises to buy? you are sure to have myriad questions running around in your mind begging for answers. To ease your mind and to give you control during the decision-making process, we’ve prepared a checklist...

WASHINGTON, March 29, 2010—A recent ruling by U.S. District Court of Massachusetts Judge William G. Young will severely impact the ability of franchise businesses to operate, create jobs and provide millions in economic output in...

Choosing the right site and negotiating the right lease for your franchise is a complex task, and one that can significantly influence the success -- or failure -- of your franchise. What kind of assistance can you expect from your...

So why should I be interested in franchising anyway?

The International Franchise Association (IFA) estimated that product and trade name franchising accounted for $554 billion in sales in 1992. This represents roughly 28% of all...

Fast food and restaurants is and will still be the fastest growing segment of the franchise industry.  While this may be so, your success is not guaranteed when you enter this race.  Because of the popularity of food franchises...

There are numerous elements that go to make up a successful franchise business. If you are looking at becoming a franchisee it is essential you are able to recognise these key attributes to ensure you buy into the right organisation.

For a franchised business to succeed, the franchise system must be inherently sound and managed by a knowledgeable franchisor. Additionally, a franchisee should possess an entrepreneurial spirit while being able to run his or her...

Obviously, you need to be very concerned about your financial ability to not only buy a franchise but also to continue to operate it until such a time as it begins to make a profit. Fortunately, careful due diligence will enable you to...

The Franchise business model that you might be looking at, right now: What is it about THIS one?

1. Is it the idea that you need to finally get out on your own, thinking that buying a franchise will enable you to make your own...

Everyone in the franchisor’s organization must understand the legal “do’s” and “don’ts” of franchise development.

Every successful franchise system has built its foundation with several...

Does it surprise you to know that the very best franchisors only “award” franchises, they don’t “sell” them? It’s true … now let’s look at why.

If you buy, let’s say, a...

Raising enough capital to start your own business can be an up-hill climb, especially given today’s cautious lending environment.

Opening a franchise might be the easiest way to do it as banks swing available credit in...

Are you looking into franchise opportunities but not sure which way to turn? Maybe you have only considered traditional franchises to date unaware that there are many low cost alternatives by way of online franchises. Here are some...

Many people dream about owning a small business. You may be one of those people who have had a “notion” for years that someday you would be president of a company, successful beyond your wildest dreams. Turning that dream...

The investment opportunities for business ownership that you find on the web today range from the instantly recognizable fast food and brake and muffler franchises to businesses which offer you the opportunity to place beverage vending...

In a sense, franchising is a business opportunity with the primary purpose of risk minimization. Every study ever done on the success rate of new (non-franchise) business startups concludes the same thing. Starting up a new business is...

Are you looking to find the best franchise? In this latest business opportunities article, you will discover some golden tips to finding the best franchise business opportunity!

There are many places to go to find opportunities...

Understanding a franchise agreement is instrumental when building a business relationship between a franchisor and a franchisee. It outlines as simply yet detailed as possible what roles both parts play in this relationship.

The collapse of Kleins and several other insolvencies of both small and large franchisors has thrown the issue of franchisor failure into a rarely illuminated spotlight. Franchisor failure is an unsavoury topic which participants in the...

"How did it all start?" Few people really know the exact answer. According to definition, the word "franchise" comes from old French, meaning privilege or freedom. Some say franchising began with an effort to collect taxes, as government...

There are four critical factors that combine to make a good franchise system:

1. The Organization 

Does the franchise organization have the ability to develop and maintain a franchise network?  It is one...

Since most franchises offer a cookie cutter plan for operating within their system, there may not seem to be much room for creativity. However, there are some ways to make the franchise your own while still adhering to the...

Before New York Broadway producers bring a production on the road, they’ll test it in a few smaller cities to see if the humor or pathos translates well to different audiences. After all, not every town sees life in the same way...

In terms of capital investment, your franchise fee will be determined by the profitability of the business. Most companies have a scale when it comes to franchise fees. They can have varying ranges, anywhere from $2,000 to $100,000+...

In these tough economic times, some experienced executives have been laid off, downsized or minimized, but still have plenty to offer. They might desire to look at franchises, which offer the opportunity to make a change, run a business...

Are you interested in starting a business? Franchise opportunities are popular, but why get into a franchise opportunity to start a business? In this article, we will look and find the benefits you need to know about.

PrePurchase Detective Work

In addition to the routine investigation that should be conducted prior to any business purchase, potential franchise buyers should be able to contact other franchisees before deciding to invest.

Buying a franchise is an option considered by corporate employees experiencing downsizing or unfavorable work conditions. Before you take the leap, your About.com Guide for Small Business Information has assembled the pros and cons of...

Now that you've got an idea of the industry you're interested in and the financial requirement you can commit to, try visiting a franchise trade show. They're a terrific way to gather a lot of preliminary information and survey the field...

If you are interested in earning some additional income then you may have been trying to find the best franchise opportunities. This article is written to help make that decision a much more informed one.

Think buying a franchise means you get the benefits of owning a business without the risk of business failure? Think again. Without proper due diligence, franchisees can find themselves stuck in bad business models, chained to...

Being a franchise consultant I am often asked what type of franchise business would I recommend buying in these current challenging economic times. Although their are a number of important factors to consider and careful research to be...

Today’s tough economy doesn’t have to put a damper on your dreams of buying a franchise opportunity. True, you do need to do your due diligence, and you may need to work harder to get the necessary financing. But in some ways...

Before signing on the dotted line be sure your due diligence is complete

When prospective franchisees search for franchise opportunities they have the advantage of accessing a wealth of information. This information can be found...

An important measurement of the health of any given Franchise company is the rate of growth of their system. Specifically, the franchise system should be growing at a rate that shows it is healthy and vital and is able to attract a...

When you start to take a closer look at franchise businesses, the variety of opportunities offering the prospect of financial security and the change to grow a prosperous business seem to be unlimited. As you look around, you'll find...

It sounds cliched, but leadership really does begin at the top. It's the attitudes and behavior of the CEOs, VPs, and other executives who set the tone for how well the franchise brand operates and grows. What's modeled at the top...

We know you've seen them, the shops that sell nothing but pretzels--salty pretzels, sweet pretzels, pretzels wrapped around hot dogs…

Or maybe you've puzzled over all the new day-care services for dogs, with names like...

Starting with a real basic: What is franchising?
Franchising is a way of distributing products or services. There are at least two levels of people involved in the franchise system. The franchisor, who lends his business system or...

The term franchising can be defined as:

-The authorization granted to an individual or group by a company to sell its products or services in a particular way.

-A revolutionary business concept that provides a low-cost...

An entrepreneur who starts a business from scratch is not trained or perfect and therefore is always at risk whereas purchasing a franchise is a different experience. It too involves a certain amount of risk but a franchisee can operate...

Susan, a bright, energetic and make believe person, has decided to become a business owner by buying a franchise. She understands that there are many steps to the process and asks me how long it will take before she will be able to open...

If you know you are ready for self employment but you are unsure of how to get there consider franchise ownership. Franchise ownership can make your dreams of self employment come true faster and safer than going it alone. Franchises...

A wise investor, whether he puts money in the stock market or real estate or even collectible figurines, always considers the return he can expect on his investment. This should also be true of franchise investments. Those investigating...

As many first-time business owners find out, there is a high failure rate for independent, non-franchise businesses. Franchising provides a proven system and the support of a much larger organization. If you are first-time business owner...

Starting a franchise can be a great way to start your own business. It is worth bearing in mind though that as with any type of new venture there are some advantages and disadvantages which you need to be aware of.

The green movement has brought about many changes in the way people live, conduct business and understand the world. A growing demographic is taking measures to evaluate their lifestyles and their impact on the planet, from the products...

After being unemployed for a year, Pauline Hamian ditched the résumé and bought herself a job. The former Burger King employee had no luck finding a job after being part of a corporate restructuring in 2008.

Franchise financing is an integral part of the Canadian entrepreneur's challenge of obtaining and building a success Canadian franchise. As most Canadian business owners quickly discover, franchisors do not provide direct or indirect...

In today’s challenging economy, many people feel that they have lost a sense of control over their careers. Widespread corporate layoffs and downsizings have made the job market a tenuous environment in which to build a solid...

This report gives a brief overview of the US pizza industry and outlines the costs and fees associated with a typical pizza franchise. The data contained in this report was drawn from the Franchise Disclosure Documents (FDD), formerly...

Franchise financing is an integral part of the Canadian entrepreneur's challenge of obtaining and building a success Canadian franchise. As most Canadian business owners quickly discover, franchisors do not provide direct or indirect...

Want start a franchise business but don’t know where to begin? This is a big decision for any entrepreneur and a lot of thought and planning must go into it. You need to consider several factors before you start a franchise business...

Research by the Franchise Advisory Centre indicates there are several key motivating factors for the decision to buy a franchise. While most of these factors will be present for different people’s decisions, the relative importance...

Before you buy your own franchise, there are two critical tests you have to pass:

1. Personal Inventory: Are You the Ideal Franchisee?

The most important test you must pass is a self-examination of your characteristics...

It’s too risky. I don’t have the capital. People might not buy my product. I don’t know the first thing about running a business. Yes, excuses proliferate. And with the economy the way it’s been for the last year, forget about it.

That’s why it’s nice to have help, and there’s probably no bigger source for startup help than a well-chosen franchisor.

Franchising is when someone uses another person's idea or business formula to start their own business.

The person selling the franchise namely the franchisor grants the independent operator namely the franchisee to copy and distribute its products and use its trademarks and name in return for a percentage or royalty payment of the gross monthly /yearly sales.

The idea of a microfranchise originated at Brigham Young University, Utah, in the USA. BYU’s Marriott School defines a microfranchise as small businesses that can easily be replicated by following proven marketing and operational concepts. The overall objective of MicroFranchising is to promote economic development by developing sound business models that can be replicated by entrepreneurs at the base of...

Just as every franchisee needs a qualified franchise attorney, it is also important that prospective and current franchisees have an accountant on their franchise team; that is, an accountant who specializes and has experience in franchising.

James Layton, CPA, CFE, and director of Systems Support & Development for top accounting firm Fiducial, says that most franchisees are...

Q: I'm currently looking at several opportunities. Some are franchises and some are business opportunities. Can you tell me the difference?

A: Telling the difference between a franchise and a business opportunity can get very confusing sometimes. But knowing the difference is important to understand before you sign on the dotted line.

Q: I am considering either buying a business or starting my own, so I'm in the process of researching different opportunities. A friend suggested I look into purchasing a franchise. What are the advantages and disadvantages of buying a franchise verses starting a stand-alone business? Wouldn't starting my own business give me more control?

The franchise business has been around a long time; in fact they go back as far as the 1850’s. The notion of selling off a business or a part of a business in order to expand into new areas usually came from the lack of investment funds from the business owner.

While the business of franchising has grown over the years it all had to start somewhere. The concept of franchise businesses started...

Here is a sample of frequently asked questions answered by the CFA. See the Canadian Franchise Association for the full list.

What is a franchise?
Franchising is a business relationship where a franchisor (a company or individual who owns the franchise system) grants a licence to a franchisee (a company or person who contracts to use the franchise system) the right to use the franchisor's trademark, brand, operating...

Personal Liability and Obligations of Franchisee and Family Members

What entities and/or individuals will be responsible for performance of various obligations under the contract? If the franchisee is a corporation, will a personal guarantee be required, and if so, what obligations are covered? If the franchisee will execute the contract as an individual, does he or she have the right to assign the franchise to a corporation that he or she owns?

Becoming a franchisee is a commitment that you will likely be making for the long run. Therefore you will want to be certain that you make the most logical choice that you possibly can. In order to do this, there are some questions that you should ask yourself while choosing the type of franchise that is best suited to you.

1. Summarize your credentials
If you haven’t already, compile...

Franchising is a huge and growing part of the nation's economy. More than 300,000 franchised small businesses operating in the United States account for an estimated $1 trillion worth of income each year and provide jobs for some eight million Americans. Franchising has also entered the Internet era.

The franchising phenomenon is not limited to the United States. In England, for example, franchising is one of the fastest growing sectors of the economy.

How to Choose the Right Financing Option to Meet Your Goals

If you've decided that franchise or business ownership is in your future but you don't have enough available cash, or liquid capital as it is often called, now is a great time to explore your financing options. Learn more about the various types of financing that are available to you. Once you've learned about the wide variety of financing programs that are available and decided which...

The term “Franchising” has always had a very specific meaning and referred to a defined business model. When doing a recent article on franchising in the service industry, I noticed that it was an excellent illustration of the metamorphosis of the traditional franchise model. That traditional model; initial fee, royalties and advertising fees, just isn’t the standard anymore. The model has become very flexible and...

Financial

1. Have you and your spouse and knowledgeable family members discussed the idea of buying a franchise?

2. Are you in complete agreement?

3. Do you have the financial resources required to buy a franchise? If not, where are you going to get the capital?

There are a number of reasons to go into business for yourself. Maybe you are intrigued by the challenge of the entrepreneurship or maybe you want to get rid of the mundane routine of working for someone else. Nevertheless, the key to run a money-spinning business depends on the choosing the business opportunity that is right for you! In today's competitive world a number of businesses venture fail, fortunately the business franchise offers great opportunities for everyone be it the beginners or be it the seasoned business men.

Franchising commands a staggering 43% of the nation’s total retail sales and service dollars. It is an employment engine on fire, and produces wealth right through economic decline. You don’t need an MBA to succeed, and everyone is in it together to win. Franchising is the profitable muscle machine that plows through challenge and persistently produces success. And, it consistently achieves record growth across the nation and around the world.

If you’re intrigued by companies that are emerging as leaders in fast-growing industries like the green movement then you’ll be interested in learning about innovative franchise opportunities that let you tap into some of the hottest industries. Earth-friendly franchises, for example, cater to the growing interest in protecting the environment and provide you with the opportunity to own an in-demand, eco-conscious business.

How do you find a franchise with great returns?

A wise investor, whether he puts money in the stock market or real estate or even collectible figurines, always considers the return he can expect on his investment. This should also be true of franchise investments. Those investigating franchise opportunities should look carefully at the company’s potential ROI.

The first year of business poses many challenges, even for the most experienced of entrepreneurs. In buying a franchise however, one would assume it would be easy, after all, you have bought a system with standards and procedures in place designed specifically for the franchisee to follow so it should be a breeze right? Wrong! Like any first year of business there are many challenges to overcome.

"You know it's on their list somewhere after Wyoming, Alaska ... Canada," says Larry Weinberg, a Toronto franchise lawyer who recently co-chaired the American Bar Association's Annual Forum on Franchising in Toronto.

A trend appears to be emerging among U.S.-based franchisors to target the Canadian market first for international expansion. A slow-to-recover U.S. economy, combined with Canada's relative strength during the recession, seems to be luring franchise operators to Canada.

It's easy for an executive to say he is franchise focused, as Nigel Travis, CEO of Dunkin' Brands, told QSRweb.com in a story posted Monday. How franchisees perceive that focus can be another matter.

But Travis is living up to that statement, at least from the point of view of franchisees represented by the Dunkin' Donuts Independent Franchise Owners organization.

If a person is looking to start their own company and they're not sure what they want to do or they don't have a lot of experience, they should look into buying a franchise. A franchise is when an existing company (the franchisor) sells the rights to distribute its products, techniques, and trademarks to another person for a percentage of the gross sales.

Wondering if you should buy a franchise? Here are 7 reasons that should prove to you why franchising is a good investment:

Quickest Way to Own a Business
Other business ventures take a lot of planning, preparation, and time until you can fully implement your operations. But with franchising, you can have your own business in just a couple of months. You won't even have to exert too much effort because everything is already laid out for you.

Legal Documents Required of Franchisors

There are two official documents that a franchisor may use to comply with the FTC Rule-- the FTC Disclosure Document (FTC Document) and the Uniform Franchise Offering Circular (UFOC). The FTC document does not meet the requirements of most state disclosure laws, whereas the UFOC is accepted (with minor differences) in all states with franchise disclosure laws.

Investing in your own business can be one of the most critical decisions one will ever make. The challenges are enormous physically and emotionally. Even finalizing a decision to own one's own business is daunting in itself. Many budding entrepreneurs cop out early into the decision making process.

10 Advantages of Buying a Franchise

1) A Springboard to Entrepreneurship

Buying a franchise allows you to become an entrepreneur in less time, limiting the multiple barriers first-time business owners would face. Essentially, you are buying a “business in a box” – a turnkey operation that has been designed, tested, and proven by a team of industry experts.

Have you ever dreamt of owning your own business? Of course you have, it is something that many people would love to be able to do but in most cases this dream is clouded by the “what if” question - “what if it fails?”. The fear of failing prevents so many would-be entrepreneurs from taking the plunge. But is this warranted? Well, it’s sad to say but yes, statistically it is warranted - Up to 50% of new businesses fail within the first 2 years of trading.

As a franchise sales consultant and an individual who grew up with a franchise business (my family owned a Dunkin Donuts for over 2 decades) I am often asked what type of franchise business I would personally recommend to buy. Although all franchise business categories have their inherent advantages and disadvantages, my personal preference would be to buy a service related franchise concept for a number of reasons.

Are you entirely happy with your job?
A poll of more than 2,800 employees in the UK carried out for online learning provider SkillSoft has found that two-thirds go to work wishing they were doing something else!

As well as this, 6 out of 10 of these people are checking job listings and recruitment websites while at work, with half of them having their details registered with a recruitment agency, headhunter or online job service.

You should always know what you are getting into and this is a big must especially if you are thinking of signing that franchise agreement.  A mistake here or lack of foresight on your part would definitely cost you more than your last divorce.  So before you tie that knot, read between the fine lines and make sure to understand and adhere to everything written on the contract.

Even after one has made the initial decision to buy into a franchise opportunity, there is an endless checklist of things to consider before choosing ‘the right one.´

Recognized franchise expert and President of Finance and Development of Wireless Toyz; one of the country´s fastest growing companies; Richard Simtob recommends a cold, hard look at every one of his top 10 franchise selection criteria before making the leap.

Although the 2010 outlook calls for little industry growth, franchising remains popular. Experts say, however, that numerous factors must be considered in picking the right franchise to buy.

Bob Purvin, chairman and CEO of the American Association of Franchisees and Dealers in San Diego, says franchising can be a lucrative investment for those who do their homework.

CHICAGO (AdAge.com) -- Take your average seven-figure CEO and add a load of the company's dirty laundry. Put him in a funny suit while he meets some of his best frontline workers -- and screws up their jobs. At the end, he can give them raises, and address problems exposed along the way.

It's a classic redemption story -- the kind American TV viewers love -- and the premise for CBS's surprise hit "Undercover Boss," which scored 38 million viewers after the Super Bowl.

For an in-depth description of the word "franchising", a quick visit to 'The Wiki', is an order. But to many, when the idea pops into the head, there is a common thread: McDonald's! Yes, McDonald's is among the world's largest and most popular of franchises, with a daily customer base of around 47 million in over 31,000 stores. So how does one with enough capital and ambition get a piece of the action? Create and market their own version of the Egg McMuffin... uh, no!

CHICAGO (Reuters.com) - If you've ever envisioned yourself slinging hash or pouring coffee in your own restaurant, your dream just got a lot cheaper.

With revenues flowing more like molasses than water, franchisors are slashing fees in an attempt to entice would-be entrepreneurs to ditch their cubicles and strike out on their own.

With a new year approaching, now is an ideal time to reevaluate your future goals and aspirations. If the economic climate has put you in a holding pattern and you’re determined to make 2010 the year that you turn your hopes and dreams into action, then consider becoming your own boss. Franchise ownership enables you to get into business in a relatively brief period of time with an established concept that features a well-known brand and a proven business system.

If you have set your heart on that particular brand or product, then consider obtaining that business franchise. Though focus and determination is the key factors to the start up or expansion of any successful business plan, it is important to analyze the factors and the workings before taking the plunge.

If you were trying an aerial trapeze stunt for the first time, would you do it without a net and safety harness?  Probably not because chances are very good that you would fall. The same holds true for business ownership. If you’ve never been your own boss, doing it alone could be difficult, scary, and full of the unknown.

Going into the franchise business might be a very good idea for you as it is one of the popular methods of doing business today but when you do a search of the available franchise opportunities, choosing one among the hundreds might be a daunting task.

Franchising involves an almost symbiotic relationship between the franchisee and the franchisor.  The franchisee provides expansion, additional profit and increased brand recognition while the franchisor provides the basic know how, brand name, supply chain, and continuing support for the franchisee.  To pay for this instant business, the franchisee shells out an up front fee or a franchise fee for the use of the business system and the brand name.

Have you always wanted to start your own business but you didn't think you had the money? It is true, starting a business can involve a large capital investment; however, there are other ways to go into business without spending everything you have. There are a number of cheap franchises that require little money to start, and some will even provide financing with a down payment. There are several industries that are ideally suited for cheap franchises.

Franchising research is a dangerous business for potential Franchisees. The Franchisor can hold all the cards, unless you see the relationship for what it is!

Here are 4 tips that new Franchisees should follow when talking to possible franchise owners. Ignore these at your peril, but take them into account and you and the Franchisor can have discussions with the deck not stacked against you.

Like any other investment, purchasing a franchise is a risk. When selecting a franchise, carefully consider a number of factors, such as the demand for the products or services, likely competition, the franchisor's background, and the level of support you will receive.

Demand

Is there a demand for the franchisor's products or services in your community? Is the demand seasonal?

Industry Breakdown

So why should I be interested in franchising anyway?

The International Franchise Association (IFA) estimated that product and trade name franchising accounted for $554 billion in sales in 1992. This represents roughly 28% of all retail sales.

People decide to buy a franchise for several reasons. Franchises offer an established brand name and relatively easy access into a specific industry. Many companies that sell franchises will also help the owner along the way by providing franchise related training, money, or clients. This gives the franchise owner an obvious advantage over the average small business owner who must work by themselves to establish their business, name, brand, and product.

Jobs are still scarce, so the unemployed are reinventing themselves and becoming the majority of new franchise owners, industry sources say. The troubles in commercial real estate are making it easier by driving some landlords to negotiate — sometimes offering several months' free rent or paying for remodeling.

Living With Chains
For entrepreneurs looking to buy a franchise, here's one thing to prepare for: culture shock.

There are entrepreneurs. And there are franchisees. And they aren't necessarily the same thing.

In a sputtering economy and without any experience running a retail operation, Chris Parker is excited about prospects as he plans to open two more Sport Clips hair salons over the next two years.

His first Sport Clips franchise on the near North Side is making an operating profit after opening just more than a year ago and he anticipates double-digit growth this year, Parker said.

When considering the purchase of a franchise, it is important for prospective franchisees to understand the Franchise Disclosure Document (FDD) provided by the franchisor. The disclosure document provides all relevant information about the company including a history and overview of employees, as well as the franchise agreement which outlines...

You want to own a franchise, but you don’t know which ones are available and which one would be right for you.  The big question is: how do you ?

There are many places that advertise franchises for sale:

Want to buy a franchise opportunity? Great idea! Here is a high-level overview on what to look for:

Operating History – A long history of success is the #1 thing to look for. If many other franchisees have been successful over the years, your chances are probably pretty good that you will be successful too.

Investing in your own business can be one of the most critical decisions one will ever make. The challenges are enormous physically and emotionally. Even finalizing a decision to own one's own business is daunting in itself. Many budding entrepreneurs cop out early into the decision making process.

One of the greatest decisions of any entrepreneur is in the choice of franchise that you buy in to. Therefore, there is a lot of planning and researching that needs to go into the process before deciding on a final franchise.

You need to have goals to work towards. For example, think about why you want to start a business and what you expect to get out of it.

So, you want to own a franchise...

Before you buy your own franchise, there are two critical tests you have to pass:

1. Personal Inventory: Are You the Ideal Franchisee?
The most important test you must pass is a self-examination of your characteristics and desires, and whether or not they are compatible with franchising.

If you're thinking of starting your own business, you probably realize the risks and huge undertaking ahead. Once you've decided what type of business, you'll also need to decide how you will start. There are two possibilities:

1. You can start your own business from scratch.
2. You can buy a franchise of an already established business.

Franchise Business Buyer's Guide

- A great question to ask franchisors: "What traits do your most successful franchisees share?"

- Any franchisor who guarantees specific returns or asks for cash up front is breaking the law. Move on to your next prospect.

Today customers have access to greater amounts of information, faster than ever before. With pervasive social-media tools like Facebook and the current trend of “video snacking” with Web sites like YouTube.com , brand   managers are met with an ever-increasing number of threats to maintaining their brand’s image and credibility. This is particularly challenging for franchising companies.

The availability of information about franchises for sale on the internet has taken some of the wind out of the sails of franchise exhibitions worldwide, but cannot replace the person-to-person contact where sellers and potential franchise buyers can meet and interact on the spot.

Most franchise exhibitions also include a seminar program, held in parallel with the expo, so that visitors can learn about specific topics of interest in a structured format.

In addition to the many questions that you should pose to a potential Franchisor, and the many questions they should pose to you, there are several other considerations for you to determine your compatibility with a particular Franchise system. If you are going to be getting into business with someone with the goal of creating an outstanding future together, you should cover more bases than just the basic questions to understand how the business makes money.

Franchise industry regulation varies from state to state, and you should therefore do some extensive research into the laws that apply in your state. What is considered franchising by your state? What documentation does your state require of franchisors to help protect you?

"Traditional marketing says fill a need and you'll be successful. America has a huge need to eat healthy and no one's filling that need in the fast food market... not really." So says Jaynie Smith, author of Creating Competitive Advantage and president of Smart Advantage, Inc.

Smith is right about the huge need for Americans to eat healthy: According to the National Center for Health Statistics, 66.5 percent of adults are overweight or obese; 32 percent of adults obese.

The franchise industry consists of two main components:

1. Product and Trade Name Franchising
Product and trade name franchising includes automotive and truck dealers, soft drink bottlers, and gasoline service stations. These franchises are essentialy distributorships and as a group, they are far larger than the participants of business format franchising. Our site does not focus on this franchise form and instead, devotes much of its attention to business format franchising.

The franchise sector is expected to add about 36,000 jobs this year after shedding more than 400,000 last year, according to a forecast released by the International Franchise Association, based in Washington. It represents about 1,300 franchisors and 12,000 franchisees.

The recovery would be stronger if loans were easier to get, according to the association.

When you buy a franchise, you often can sell goods and services that have instant name recognition, and get training and support that can help you succeed. But purchasing a franchise is like every other investment: there’s no guarantee of success.

How do franchises work?

Well, franchises work but the problem is most people don't really know how much work they take and how much effort they really need to put in to make their franchises produce REAL profits right off the bat.

There are many different options when it comes to franchising but I'm going to hone in on the 2 most popular today.

The biggest issue new businesses confront has little to do with permits, time organization, or merely obtaining clients. Rather, one of the most substantial obstacle is often a tight budget. Restricted cash flow seems to have hampered the success of uncounted franchise founders. Moreover, given the tightfisted approach banks are taking to extending credit, securing loans is becoming more difficult than ever.

The benefits of franchising as a means of expanding a business are twofold. One, it involves low capital investment by the franchisor as the capital used to expand the network comes from franchisees. Two, by franchising the business, the franchisor places the expansion of his/her business in the hands of people who are motivated to make it work.

Franchising 101

Although franchising’s largest and most popular brands represent the images most people hold about the industry, recent research revealed that franchising has been significantly influenced by the growing number of new concepts appearing in the past few years. One-fourth of those had 10 or fewer units.

Buying a franchise is a major investment. You should expect to draw on almost all of your financial resources and/or take on additional lines of credit. Before start talking to franchisors, have these questions answered:

-What is your net worth? How much of that is liquid (accessible cash)?

-How much can you afford to lose? (Remember - nothing is guaranteed.)

Are your chances for franchise success better with a large, well-known franchise than with a small company that's only recently begun to franchise its concept?

Although logic suggests that a well-established franchise with many locations would be the safest choice, brand name and number of locations doesn't guarantee success.

There are many advantages to opening up a franchise versus an independent store. But there are some disadvantages, as well.

When it comes to owning a small business, not everyone goes the route of starting up their own mom-and-pop shop. In fact, if a hopeful entrepreneur has no clue how to write a business plan and likes the idea of having a bigger “parent” company at their backs, opening a franchise might be the better option.

Franchises are making gains on independents, especially restaurants. By 2013, franchise eateries -- fast food outlets, family sit-down places, etc. -- will outnumber all others.

From 2000 to 2008, the number of franchise restaurants grew by 20%, while the number of nonfranchise restaurants fell by nearly 4%, according to data compiled by NPD Group, a retail market research firm.

When investigating a franchise opportunity one of the most difficult pieces of information to get from the franchisor is how much money you might make. This may be frustrating because you are not going to invest in a business until you have a good idea of what you can earn. In most cases the franchisor is not being purposely difficult.

From the leadership positions they hold, to the purchasing power they wield, women and minorities play an important role in the overall U.S. economy. Women and minorities have a presence in every industry and their contributions fuel economic growth. Hispanics alone account for 15% of the U.S. population, and by 2050 that number is expected to nearly double to 29%.

You've decided to take a leap and open a franchise. There is an abundance of franchise opportunities available, whether they are in the retail or service sector. Most businesses fall under one of these headings, with one providing a tangible item to purchase vs. a business that provides some type of service. Many times the determining factor will lie within your own personality and educational background.

Kendera Rimmer wanted to buy the Mr. Goodcents Subs & Pasta franchise at 3037 Main St. in Kansas City.

“This store means the world to me,” said Rimmer, 38, who since 2004 had advanced through the ranks from sandwich maker to general manager. Rimmer’s boss — the owner of the restaurant — was receptive to selling to her.

Do you own a franchise and want to terminate or sell it? Are you interested in buying a franchise? What agreements will the franchisor require? Here you'll find a great resource guide on franchise businesses as well as some valuable advice to help you better understand the franchise world.

Some women plan on becoming business owners practically as soon as they can talk and others fall into it by happenstance, but the motivation is often the same -- they want to escape the drudgery of working for someone else and make their own business decisions. Mary Ellen Sheets became an entrepreneur once her sons went off to college, leaving their after-school moving business behind. Before that, she was a systems analyst.

If you have the investment capital, the inclination and desire to succeed, a willingness to learn, a wish to be your own boss and a yearn to achieve a comfortable lifestyle, franchise investments offer the opportunity to achieve these goals.

When looking at franchise investments there are some elements you should look out for when making your decision:

Decisions in franchise-related law in 2009 produced new frameworks under which franchisors and franchisees will be doing business in the year ahead, and beyond.

Citing four restaurant-industry cases, litigators in the Atlanta-based DLA Piper LLP international law firm this week offered the “Top Nine for '09” legal decisions that they think will be affecting franchisor-franchisee agreements.

After being unemployed for a year, Pauline Hamian ditched the résumé and bought herself a job.
The former Burger King employee had no luck finding a job after being part of a corporate restructuring in 2008. While at an outplacement center, she stumbled on a webinar about franchising.

The availability of information about franchises for sale on the internet has taken some of the wind out of the sails of franchise exhibitions worldwide, but cannot replace the person-to-person contact where sellers and potential franchise buyers can meet and interact on the spot.

Most franchise exhibitions also include a seminar program, held in parallel with the expo, so that visitors can learn about specific topics of interest in a structured format.

A business to business company differs from others in such that while the others cater to consumers, b2b caters to businesses in a particular area.  The options and choices available upon thinking of going into this kind of business is not just profitable but diverse.  Here you can offer blue collar services such as networking or marketing or white collar services like printing and janitorial services.

As environmental awareness increases and governments, companies, and consumers demand planet-friendly alternatives for just about every product and service, a growing number of franchise companies are meeting the demand by changing the way they do business. Some concepts have centered their businesses around going green, while others have simply moved with the times by bettering the ways in which they do business.

1. Understand how franchising works!

2. Know what your own financial situation and objectives are to determine if franchise ownership is a workable option for you.

3. Examine your own motives, temperament, lifestyle preferences, health, family obligations, likes and dislikes to be sure you are realistic about undertaking a particular type of business.

Many business franchise opportunities are available through online sources that offer unique and successful startup packages for creative entrepreneurs. A business franchise opportunity is appealing to many people that are looking for ways to begin a new career, leave an unsatisfying job, or make added income for their families. Today's change in job market trends and needs have left some baby boomers in the cooperate world without jobs.

1. Not reading, understanding or asking questions about the disclosure document. These documents are typically long, sometimes 80 pages, but it is very important that you read and understand each item, 1 through 23, of the Uniform Franchise Offering Circular (UFOC). As you read the document, keep notes on those areas that are confusing and unclear.

If you’re in the middle of searching for a franchise to own, you’ve probably read about franchise concepts that state, “No previous experience is necessary.” How can this be the case when you’ll own and possibly manage a business? The reality is that although some concepts do require previous business ownership or industry experience, most truly do not.

It is a pre-conceived notion that purchasing a franchise requires a pocket full of money and oodles of money saved up in the banks, earning interest rates. Well, the reality is different. Anyone who is practically ANYONE can purchase a franchise and is a very good investment in all aspects. Now the question is why should you buy a franchise?

The first thing you need to keep in mind in your investigation is that it is a process of mutual elimination for both you and the franchisor. Therefore both of you are trying to determine if the fit seems right from the beginning. If either party comes to the realization that this is not the right match, they simply inform the other party and move on.

As the new year begins, prospective business owners are thinking about the coming year and making plans to purchase a business in 2010. Particularly since experiencing difficult economic times, business buyers have become more frugal, choosing not to spend their entire life savings on a business. In general, people value time with their families, a more flexible schedule, and cutting out the daily commute to work.

Since it’s beginnings in the 1950’s in America Franchising has been a steadily growing business. In the UK in the 1990’s there was an explosion of franchising activity and throughout the last decade the model has continued to proposer.

This article is not about the history of the franchise industry; far too much has been written about that. Nor am I writing about franchising your business; that’s a topic for later.

To assist with franchisee recruitment the Asia-Pacific Centre for Franchising Excellence surveyed attendees at a franchise business opportunity expo.

The surveys, conducted by Centre researcher and PhD candidate Steve Bennett, provided insight into potential franchisee’ needs and wants to help franchisors create better franchisee recruitment practices.

There are some people who just happen to be born with the entrepreneurial spirit. It makes them willing to dream big and step out in a leap of faith, even when the cost of a potential failure is as grand in scale as the possible benefit of a successful venture. One of the most appealing means of taking the first step toward the sustained career and lifestyle of a business owner is to purchase a license to operate a franchise of an already well-established business.

Because a franchise system is a symbiotic relationship, franchisors spend as much time studying you as you researching about them.  Yes you may bring in added income and aid the expansion plans of the company but if you end up not equal to the tasks of managing their company’s name, you may do them more harm than good.

With a new year approaching, now is an ideal time to reevaluate your future goals and aspirations. If the economic climate has put you in a holding pattern and you’re determined to make 2010 the year that you turn your hopes and dreams into action, then consider becoming your own boss. Franchise ownership enables you to get into business in a relatively brief period of time with an established concept that features a well-known brand and a proven business system.

After careful review of the UFOC/ FDD, you should be able to evaluate the business proposition, and whether or not the franchise will help you meet your financial and future goals. There are several major areas you must consider in deciding if the business proposition is the right one for you. One very direct way is to talk to other franchisees about their experience running the business and dealing with the franchisor.

There have been hundreds of theories and books written on what constitutes effective leadership. My work with many franchise companies, both good and not so good, has led me to the conclusion that effective leadership is the single most important factor in the long-term success of a franchise network. When you strip away the apparent cause of every significant achievement or problem there is always one driving force -- effective leadership or lack of it.

Buying a franchise needs the same kind of examination as an independent business. The first and most important thing is to look for a field you are interested in, you have the skills already, or you feel you can learn easily. You must also decide how much time and work you are ready to commit to make the franchise successful. You also might want to consider if you will be able to carry on the business if your franchisor shuts down the business.

Once you’ve decided, after conducting the necessary research, reviewing your finances, and consulting with an accountant and attorney about your situation, you’re must prepare to tackle the paperwork that precedes franchise ownership.

The primary document to examine in-depth is the Franchise Disclosure Document (FDD), formerly known as the Uniform Franchise Offering Circular, which must be issued to all prospective franchisees at least ten days before the signing of any contracts.

If you are doing research on the franchise industry as a whole or even on one particular franchise company, you will probably run across a number of phrases which are repeated over and over. Are these just clichés, basically without merit, notable only because they are used so frequently? Or are the clichés used so frequently because they are true?

You want a franchise business, but not just any old thing--you want something big time. We're talking about a multimillion-dollar enterprise. So how do you go about accomplishing that goal?

The easiest way to do this is to simply start at that level. Buy yourself a multimillion-dollar operation from the get-go, and you've already arrived.

There are a couple of categories in franchising that will continue to gather steam in 2010, and for many years to come. There will also be some other interesting things going on in franchising in 2010, and they don’t involve the latest pizza craze, or the launch of a solar-powered pretzel stand.

If you are looking for a franchise opportunity, the choice is mind-boggling. There are literally hundreds if not thousands of different types of franchise available for you to invest in, with the same variety in cost. Each has its own benefits and usually the more you pay there is more potential to earn.

Franchisee Recruitment Incentives

The process of granting franchises (or selling franchises as some refer to it) is one that can take anywhere from three months to three years. An initial inquiry from a prospective franchisee may not ultimately convert to a signed franchise agreement until an extensive process of assessment and reassessment has been completed by both parties.

Everyone in the franchisor’s organization must understand the legal “do’s” and “don’ts” of franchise development.

Every successful franchise system has built its foundation with several key components.  One of the essential building blocks is a franchise development program that effectively finds and then convinces high-quality franchisees to join the system in a manner that meets the company’s growth objectives without violating the franchise sales laws.

All good Franchise systems will require that Franchise Agreements are the same for all Franchisees. As a consequence, they will generally make the statement that the Franchise Agreement is a non-negotiable instrument. If a Franchise system allows for the negotiation of the various clauses contained within its Agreement that should be an indication that their own belief in their system is not as strong as you might think. Yet the system is what a Franchisee will be investing in, so…

Entrepreneurs looking for financial backing to buy a franchise can count on two things: lenders want to see strong business plans, and they expect borrowers to provide about a third of the total capital needed. Depending on the type of franchise, this could mean coming up with roughly $50,000 to $200,000 from savings, stocks, bonds, pensions, IRAs, property, and so on.

Franchise Article Author: Federal Trade Commission

If you're thinking about starting your own business and have only a small amount to invest, you may be considering buying a janitorial services franchise. For a fee, a janitorial service company (the "franchisor") typically provides you (the "franchisee") with customers and marketing, billing and collection services.

Management franchises can be an excellent route to business for folks who would like to run a business for themselves but don't really like to get their hands dirty. One of the key benefits of a management franchise opportunity is that you can hire workers as the franchise business expands.

Technology has woven through the fabric of franchising making it soar in the business world and it has revolutionized the franchise market to a higher level as well. What makes franchising more exciting, fast-paced, and interactive nowadays is its adaptability to the emergence of various technologically-advanced tools being incorporated in the franchise system in most franchise opportunities.

Franchisors are likely to stress an ability to follow a system. After all, it's common knowledge that at the core of any franchise's success is a tried, tested, and perfected system which is then duplicated over and over again. But what if a franchisee has an idea for a new product or a better system of efficiency? In such a well-oiled machine, is there room for innovation?

Every Franchise system should have a clear understanding of the following concepts. In addition, they should have a clear marketing strategy to help their Franchisees communicate to customers and prospects about how they will deliver these currencies as they operate their Franchise.

Trade. Give something to get something. Our inhabited globe has come a long way since the act of trade meant that ‘I’ll give you one caribou if you give me three baskets of carrots and a cord of wood’.

Many people are searching for ways they can best meet their financial goals. Some of the popular google searches are on things such as what are the best franchise opportunities and can I be successful with them? Some of the most popular and best franchise opportunities are often considered to be with companies such as Subway, McDonald's, Ace Hardware, or Pizza Hut.

Want to be your own boss? A franchise or business opportunity may sound appealing, especially if you have limited resources or business experience. However, you could lose a significant amount of money if you don't investigate a business carefully before you buy. The Federal Trade Commission's Franchise and Business Opportunity Rule requires franchise and business opportunity sellers to give you specific information to help you make an informed decision.

Franchise financing in Canada has some major similarities to the U.S. market, but is different in some key respects. This article will explore some of those similarities and differences that we have observed in the marketplace. More and more entrepreneurs are of course looking at franchise financing for a combination of both employment and entry intro entrepreneurship under a reduced risk mode. That is to say that a proven franchise concept enhances chances of business success.

1. Understand how franchising works!

2. Know what your own financial situation and objectives are to determine if franchise ownership is a workable option for you.

3. Examine your own motives, temperament, lifestyle preferences, health, family obligations, likes and dislikes to be sure you are realistic about undertaking a particular type of business.

Mandatory centralized marketing programs are probably one of the greatest strengths of franchising. Pooling funds from all of the franchisees in a system gives them, collectively, much greater marketing power. This central fund can be used to do things that no single franchisee could afford, like running television advertising campaigns. The fund can also be used to hire experts to produce advertising materials of far better quality than what an individual owner could create.

One of the downsides to becoming a franchisee is the waiting. If you have a retail location, you will wait for the site selection process to be completed, then wait again for the lease signing and build-out phases. Next you wait for customers to find you. If you have a service-based business, you have to go out and sell your services.

A type of business organization in which a firm which already has a successful product or service enters into a ongoing contractual association with other businesses operating under the franchisor's trade name and generally with the franchisor's direction, in exchange for a fee is known as franchising.

If you're thinking of buying a cleaning business franchise, these are some of the points you need to consider:

1. Area potential
2. Time involved
3. Ease of operation
4. Surrounding competition
5. Demand for services
6. Return on investment
7. Profit margins

For those who are looking to venture out into the business world and become an entrepreneur, there are many possible venues that they may choose to explore, two of the most popular being franchise opportunities and online home based businesses. Franchises can often provide an opportunity to buy into an already successful and highly advertised name and product, but at what cost does success with a franchise opportunity come?

Consumer Guide To Buying A Franchise

Buying a franchise is investing in your future.  Because the International Franchise Association wants tomorrow’s business owners to make educated decisions about their futures, it is providing the following information from the Federal Trade Commission’s (FTC) “Consumer Guide To Buying A Franchise.

FAQ's of Franchising - Question 1    WHAT IS FRANCHISING?

Franchising is a method of distributing products or services.  At least two levels of people are involved in a franchise system: (1) the franchisor, who lends his trademark or trade name and a business system; and (2) the franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system.

So you just found the greatest franchise opportunity in the world. Now what? You just need a place to build your store. That should be easy enough, right?? Just find a real estate agent and tell them what you want and Bam!-problem solved! Not so fast... Selecting an excellent site to build a restaurant or retail store is absolutely critical to the success of your business. If you make a poor decision in selecting a site, it could dramatically impact your startup cost.

This guide to buying a business is not intended to be a legally binding fully comprehensive bible to buying a business. We focus on a few primary points that may arise when buying a business or investing in a business opportunity.

It should also prove hints and tips that relate to the types of questions that you might want to ask the vendor.

When you go out to buy a franchise, don’t think that it is something like buying a car. Buying a franchise is a much difficult and important decision and here, the viewpoint of the franchisor too plays a big role. That is why many say that franchisors don’t offer franchise business for sale, rather they award a franchise business to worthy candidates. Hence, if you have zeroed down on one franchise, the most important day before starting a franchise will be the Discovery Day.

This weekend I was walking with a neighbor for one of our favorite charities and hit up a conversation on starting a business. My friend had just lost his job and was considering several future career options including opening a business, specifically a restaurant business. As we discussed various types of business he could get into, we talked a great deal about various restaurant businesses their business models etc

Though most people think of franchises in terms of stores and restaurants, but there are plenty of home-based opportunities available too, such as computer consulting, pet care, financial services, cleaning etc. Some may require specialized equipment, like a van with the company logo.

There are pros and cons to running a business from home. An obvious advantage of a home office is the possibility of tax deductions -- your accountant can determine what is applicable to your situation.

Thinking About Buying a Franchise? Get a Better Understanding of Franchising Lingo

Franchising can be a great way of getting into business for yourself. As a franchisee, you will be beginning your business with an established idea, something that has shown time and again that it will work. You'll get the tools that you need.

If you are in the market to buy a franchise, go out and buy a copy of this months' Entrepreneur magazine. They just released the list of the best Franchises for 2010. At the top of the list? Subway, McDonalds and 7-Eleven.

As I was reading through this excellent information, I came to think about what is important when picking a franchise?

Before you make a scene in the middle of the cubicle farm, grab the company goldfish and storm out of the office screaming “Good riddance, losers!” you might want to consider these seven truths first:

1. Chatter is the cheeky culprit of failure. There’s a classic country tune by Toby Keith called “A Little Less Talk and a Lot More Action.” Here’s how it goes:

I am fully confident in making the statement that there are many advantages to becoming a Franchisee in a good Franchise system. Of course, there are certain disadvantages as well, and each person must weigh their own dreams and desires in relation to what they want from their life. To many, the advantages will far outweigh the drawbacks. That’s why we have seen the domination of Franchising as a business strategy in the global marketplace over the past two decades.

Few things are better than the passion and satisfaction that is brought by the wonderful aroma of BBQ food.

There is no doubt in anyones mind that if barbecue was a national food, in the United States it would win without losing a breath. One of the core reasons behind this is the simple fact that barbecue is enjoyed World over by almost every culture that you can imagine, and as such, enjoys a level of popularity not seen in other types of cuisine.

It is true that opening a franchise can be much easier to be successful at than opening a new name business. Franchises can and do fail however. If you are considering opening a franchise, examine the possibilities and responsibilities carefully before putting your hard earned money into the franchisor's hand. While there are many advantages to owning a franchise, there are also many disadvantages.

While there are certainly legitimate reasons why a person may not become an entrepreneur, I will focus on a few of the main reasons cited by people that would like to begin a business but haven’t made that leap. I will also offer some thoughts on how to defeat the fear, and progress towards the dream.

Looking to live the dream of being your own boss? One of the safest and easiest ways to go about it is to look at franchise opportunities. The US Department of Commerce's statistics say that 95% of franchises are still in business after 5 years, making them nearly certain to succeed. Franchise businesses account for more than 50% of retail goods sold and employs more than 14 million Americans. These statistics alone should catch your eye.

There are various business types available in the franchise industry today. It is very useful to discuss these types for you as a potential franchise investor to help you assess the best one for you to take. Definitely, your chosen franchise opportunity should fit your total personality, skill set, lifestyle, and investment budget among other elements.

When determining whether or not franchising is the right path to business ownership for you, first consider whether or not you believe you will be able to abide by a franchisor's system. Becoming a franchisee essentially means conforming to a pre-set system, so you must be willing to follow a franchisor's business formulas and operating standards. Although you will be responsible for running the business day-to-day, the policies and procedures will be dictated by the franchisor.

Franchising has been around for decades. Starting in the 1950s we watched the development of McDonalds and others. The Franchise industry has grown and improved dramatically. Franchising allows for all of us to realize the dream of business ownership. When looking for a Franchise, Where do you start?

Few topics provoke greater debate in the franchise sector than the issue of churning. It is a hugely controversial issue that has the capacity to draw strong responses from both franchisors and franchisees alike, though from entirely different perspectives ranging from denial to claims it is endemic in the franchise sector.

Over 50% of small businesses fail within the first five years of operation. That is a staggering number, especially when you consider that many of these failed owners invested huge sums, even their entire life savings, into these ventures. The rate of failure for franchise owners is notably less. There are many factors that give franchisees an edge during those critical first five years.

For some, 2009 will be the year to become self-employed, whether this be as a result of a self-generated decision, or a by-product of losing a job. This article provides essential basics for prospective franchisees and insight into what franchisors should expect from future franchise candidates.

Though most people think of franchises in terms of stores and restaurants, but there are plenty of home-based opportunities available too, such as computer consulting, pet care, financial services, cleaning etc. Some may require specialized equipment, like a van with the company logo.

If you or someone in your family is looking for ways to be a success in the small business realm, you may consider your options as you consider opening or buying into a franchise. A franchise can be a great way to get into the world of business with a proven establishment backing you, as well as instant name recognition, which can often be a lifesaver in the dog eat dog world of business.

Take almost any town in America today and on some street you will find a franchised business. So accepting has the American public been of franchising that financial experts refer to franchising as the "wave of the future." For example, sales by franchised businesses now total more than one-third of the U.S. retail market. More than seven million people draw their paycheck from a franchised business.

When you buy a franchise, you often can sell goods and services that have instant name recognition, and get training and support that can help you succeed. But purchasing a franchise is like every other investment: there’s no guarantee of success.

The Federal Trade Commission, the nation’s consumer protection agency, has prepared this booklet to explain how to shop for a franchise opportunity, the obligations of a franchise owner, and questions to ask before you invest.

While there are certainly legitimate reasons why a person may not become an entrepreneur, I will focus on a few of the main reasons cited by people that would like to begin a business but haven’t made that leap. I will also offer some thoughts on how to defeat the fear, and progress towards the dream.

It’s Not the Right Time

One of the universal questions asked by anyone looking to join a franchise is, “Why are prospective franchisees attracted to a franchise.”  The answer lies in the understanding of what motivates personal decisions, particularly a decision that involves a significant investment. 

Business franchising is one of the safest and most risk-free ways to start up and run a successful business.

However running a franchise isn't for everyone, so take time to understand what running a franchise entails - especially the selling aspects - before you decide to buy a franchise business.

There are many reasons why an individual doesn’t pursue the dream of becoming an entrepreneur. Some are legitimate reasons, including the fact that personal desires and dreams don’t include being in business for yourself. Some people simply don’t have a desire to be in business for themselves and that is perfectly legitimate.

I am fully confident in making the statement that there are many advantages to becoming a Franchisee in a good Franchise system. Of course, there are certain disadvantages as well, and each person must weigh their own dreams and desires in relation to what they want from their life. To many, the advantages will far outweigh the drawbacks.

Like many people, Mitchell York got caught up in the economic maelstrom that followed 9/11, and was laid off from his job as the publisher of a technology magazine at the end of 2001. It was the last full-time job he would ever have. 

After 20-plus years as an editor and publishing executive, he was more than ready to exchange a closet full of suits for Hawaiian shirts and khakis.

Buying a franchise is a great way to start a new business.

Yes it’s true that the initial cost of a franchise is generally more than any non-franchised new business. It makes sense that a franchisor would need to be rewarded, both initially and on an ongoing basis, for their training, assistance, consultation, and guidance. And, remember, the franchisor is allowing you to use their proven business model for your own personal gain.

You're probably wondering how to find franchises. Here are 10 easy steps to follow. There are many well-known franchise opportunities available in almost every industry you can think of. Some are well established with proven systems and support structures in place, while others are relatively new.

So you just found the greatest franchise opportunity in the world. Now what? You just need a place to build your store. That should be easy enough, right?? Just find a real estate agent and tell them what you want and Bam!-problem solved! Not so fast... Selecting an excellent site to build a restaurant or retail store is absolutely critical to the success of your business.

When you start a new business or purchase an existing business you know exactly how much capital you will have to outlay, but when it comes to franchises, it becomes a little more complex. There are a few different franchise costs and to make sure that you do your due diligence, it is important that you are aware and understand each individual cost.

We asked two franchisors if they're seeing signs of economic recovery - and how what they see is affecting their plans for recruiting new franchisees in 2010. One is in the rapidly growing healthcare services field, the other in the highly competitive pizza sector. See if any of their perceptions or programs can help your plans for growth in the coming year!

Business Based on Proven Systems More Likely to Succeed

“In business for yourself, but not by yourself” – that’s a common adage used to describe the advantages of franchise ownership. And there is real validity to that statement

An independent business operator takes on a lot of risk when trying to launch a new business. Starting a business from scratch is hard work, and more than half of new businesses fail to become profitable.

To understand the advantages and disadvantages of owning a franchise business you need to have a basis for comparison. Other ways to realize your dreams through business ownership include buying a business opportunity and creating a business from the ground up. There are definite advantages and disadvantages to owing a franchise business over these other career or...

Stuart Frankel isn't what you'd call a power player in the world of franchising.

Five years ago, he owned two small Subway sandwich shops at either end of Miami's Jackson Memorial Hospital. After noticing that sales sagged on weekends, he came up with an idea: He would offer every footlong sandwich (the chain also sells 6-inch versions) on Saturday and Sunday for $5, about a buck less than the usual price.

There are thousands of options available to you in the world of franchising. Before you make the leap and invest into any of them, you should arm yourself with knowledge and data that can determine your success as a franchisee.

First, think about your business skills. Are you, personally, a good salesmen? A good marketer? Manager? Would you prefer to manage a team of associates or would you be more comfortable working alone?

Since most franchises offer a cookie cutter plan for operating within their system, there may not seem to be much room for creativity. However, there are some ways to make the franchise your own while still adhering to the franchisor’s rules and regulations.

Franchise Size

While the restaurant industry can be difficult to succeed in, the numbers that are out there are just a bit misleading. Yes more restaurants fail than succeed, but that is more because the people that are opening up restaurants have no idea what they are doing. How many times have we heard about movie stars that open a hot spot and it goes belly up less than 2 years later?

Recently I have seen the phrase 'Recession Proof Franchise' all over the Internet. But what exactly is this? Furthermore is there such a thing? It would appear to be the complete answer in the existing hard times if there was indeed a franchise opportunity that was genuinely 'recession proof'.

Before New York Broadway producers bring a production on the road, they’ll test it in a few smaller cities to see if the humor or pathos translates well to different audiences. After all, not every town sees life in the same way as New Yorkers. A similar comparison could be made with franchised businesses. A concept that does extremely well in one location may not have the same appeal in a different part of the country.

For people considering buying a restaurant franchise there are a wide range of opportunities.  The key steps towards owning a food franchise are as follows.

Evaluation

Before taking any other steps towards buying a food franchise it will be useful for you to first evaluate your skills and interests.

If you're keen to start your own business but worry about your lack of experience, a franchise is the way to go. When you sign up with a quality franchisor, you get the clout of an established name and all the backup and resources you need to get started. But franchising can be a murky world. And while most franchisors are straight and above board, there are a few sharks in the water.

At the point of receiving disclosure documentation, many potential franchisees are recommended by their franchisors to use the Franchising Code’s 14-day waiting period to undertake their due diligence on the franchise investment.

The problem for many potential franchisees at this point is that they don’t know what due diligence is and may have never heard the term before.

Lately, more and more franchise companies are converting a significant number of their company-owned units by selling them to franchisees. This trend, commonly referred to as refranchising or retro-franchising, can be driven by any number of motivations on the part of the company, and it may represent a wonderful opportunity for a careful buyer if the circumstances are right.

Each year, Entrepreneur, a prominent online and print source for everything business, releases its list of the top 10 new franchises. While it’s unclear exactly what the criteria is for this list, one thing that’s clear is that every business that makes it onto the list has a solid business model and business plan and has proven itself to be a viable business option in the current market.

You’re looking into buying a Franchise, and you need the best information possible to make sure you make a good decision about buying a Franchise. Well, over the past 20 years, I’ve seen (and heard about) people making the same mistakes over & over again that added tremendous risk to that decision.

This might not be something you have considered, but in the franchising business you do need some expertise sometimes.  This will apply to both franchising your business and buying a franchise.  Do not go it alone either, especially if you are first time franchiser or business owner.  There is a lot to learn about buying and selling franchises and you likely won’t find it all online. At least not yet.

It is no secret that the restaurant industry is a tough one to succeed in. However, when you look at the real numbers, it is because far too many people get into the industry thinking that all they have to do is open their doors, have a good time and the profits will roll in. Take it from someone who has been there, the benefits of restaurant franchise give a new owner a much better chance of success.

Take a look around you and you can see signs of the flailing economy. Jobless claims are up, businesses are downsizing and others are going bankrupt. Not to mention the foreclosure and credit crisis.

So I ask you this question. "Why are you looking to start a franchise business, now?"

'Good franchises' are those that are a good for YOU, some people succeed and others fail in the SAME franchised business. This happens for several reasons and in all types of business.

The following information relates mainly to small franchises which are home based but most of the information would be useful to anyone whose aim is finding a franchise that suits them.

Having a short list of industries to investigate lets you start looking at specific franchises. Potential franchisors should send you detailed information at no cost - simply call companies you are interested in and request the information. You can get many more leads at franchise trade shows, which bring together hundreds or thousands of franchisors looking for buyers. You can also talk with a franchise consultant or broker.

When you are starting a franchise, a big part of your due diligence process should be devoted to conducting extensive market research. A thorough market research is mandatory, if you want to become successful as a franchisee. But, many novices fail in spite of starting a franchise of a top franchise opportunity, just because they don’t do proper market research. You may find the product/service great, but if there are not enough people to buy it, then it is of no use.

When one thinks of a franchise business, people usually think of Pizza Hut, KFC, McDonald. However, many people I talk to have zero interest in that particular business model.

Recently, the trend offers flexibility, limited and controlled hours, and businesses that offer lots of family time Something that doesn’t require big capital up front.  These day many people looking for Home-based franchises business.  Is there such franchises available?

Let's say you're tired of corporate America and you'd like to own a business of your own. Unfortunately, you've never owned a business before, and your parents didn't own a business either, so you really don't know what to do to get started. This is the biggest dilemma for many corporate employees who want to ditch corporate America and start their own company.

A significant step in the development of starting up a business venture is deciding whether or not to buy an existing business, finance a start-up or invest in a franchise alternative.

One of the biggest mistakes involved in new business ownership is making a decision that may significantly affect you and your family, without gaining a full understanding of the key components involved.

Often franchise buyers become interested in a certain type of business and brand in the franchising sector. They've always considered owning a business of their own, but never really had the experience to quit corporate life and go for it. Franchising seems to be the answer, and they when they see a concept or brand name which they are drawn to they start to do a little more research.

If you are considering on buying a franchised outlet as a business of your own then perhaps one of the questions you might have is regarding the franchise territory that comes with your franchise. Often, franchisors will make a "bullet point" in their brochures about "Exclusive Franchise Territory" as if this is some kind of a bonus that you get for giving them the $20,000 franchise fee.

When planning new ventures, you need to decide whether this new business should be a franchise or not. Well, major entrepreneurs have analysed the franchise opportunity and have recognised the following excellent characteristics of any franchise opportunity:

1.Firstly, with a franchise, a lot of the headaches have been worked out for you. This includes the menu, kitchen, equipment, the approach, employee attire, design and layout as well as how the franchise business is run.

For some, 2009 will be the year to become self-employed, whether this be as a result of a self-generated decision, or a by-product of losing a job. This article provides essential basics for prospective franchisees and insight into what franchisors should expect from future franchise candidates.

Starting your own business should never be an overnight choice, nor should it be something that you take lightly. Before you even write up that business plan, you need to be sure that you are ready to take on the commitment to hard work that starting out often takes. This is true of any business, but also true of getting yourself started in a franchise as well- this is not a get rich quick scheme and as anyone will tell you, if something sounds to good to be true, it is.

An ongoing challenge in franchising is the lack of understanding among franchisees of their obligations under the franchise agreement.

The Franchise Advisory Centre has taken a great number of calls over the years all asking essentially the same question:

“My franchisor wants to me to do / change / stop doing / upgrade or divest something. Can they make me do that?”

The most valuable source of information on any franchise system is its existing franchisees. These are the people who are living the life of a franchisee every day, and they can tell you the reality of what that life will be like for you if you decide to join up yourself.

With any franchise you are interested in, you should plan on calling or visiting a number of the existing franchisees during your investigation.

The term 'franchising' covers a variety of arrangements in which the owner of a product, process, service or even just a name (in the terms of a celebrity) allows someone else to use it in exchange for some payment.

This rest of this page refers particularly to 'business format franchising'.

New guidance issued by the Small Business Administration (SBA) will loosen the limits of the 7(a) loans ability to finance goodwill (intangible assets) in franchise business purchases with changes in ownership.

Goodwill is the term used to describe the intangible assets of a business, verses the hard assets such as equipment, buildings and real estate.

Buying a franchise is a major investment. You should expect to draw on almost all of your financial resources and/or take on additional lines of credit. Before start talking to franchisors, have these questions answered:

-What is your net worth? How much of that is liquid (accessible cash)?
-How much can you afford to lose? (Remember - nothing is guaranteed.)

If you want your franchise to succeed, you need to give 110% of your efforts; you have to be in it to win it. As a former franchisor, I can tell you that the most successful franchisees went above and beyond the call of duty, they took their businesses as serious as their families, and because of that their success seemed to know no bounds.

To understand the advantages and disadvantages of owning a franchise business you need to have a basis for comparison. Other ways to realize your dreams through business ownership include buying a business opportunity and creating a business from the ground up. There are definite advantages and disadvantages to owing a franchise business over these other career or business ownership options but to know which path...

Franchises account for over 40% of retail sales today. You may go to any center and find franchises operating there. With over a century of History behind them, franchising is a strong, efficient way for you to venture into your new business. What are franchise opportunities? What does it mean to me and will it work in my area?

So you just found the greatest franchise opportunity in the world. Now what? You just need a place to build your store. That should be easy enough, right?? Just find a real estate agent and tell them what you want and Bam!-problem solved! Not so fast... Selecting an excellent site to build a restaurant or retail store is absolutely critical to the success of your business. If you make a poor decision in selecting a site, it could dramatically impact your startup cost.

Whether the business is a franchise, existing business or home business, there are absolutely things that happen (or do not happen) that cause business owners with the best of intentions to fail. The most prominent reason a business fails is that the business quits before they allow themselves enough time for success. Anticipating immediate results in any business is a recipe for failure.

Charlie Morrison, CEO of Pizza Inn, said he encourages his franchisees to experiment with new flavors and toppings on their pizzas. After all, some of the 310-unit-strong chain’s best-selling specialties started at the franchisee level, including a bacon cheeseburger pizza with a mustard base and pickle on top.

Buying a Franchise

An important step in the small business startup process is deciding whether or not to go into business at all. Each year, thousands of potential entrepreneurs are faced with this difficult decision; because of the risk and work involved in starting a new business, many new entrepreneurs choose franchising as an alternative to starting a new, independent business from scratch.

How important is choosing a franchise location in the process of starting a business in franchising? The franchise location is a very important factor in bringing profitability and success into your chosen franchise opportunity. Imagine a business being situated in an isolated place where only few people live or a business selling very expensive goods or services within a community where the median household income is very low.

It's one of the most important tools you'll get when buying a franchise - and the foundation of your relationship with the franchisor.

The Franchise

Did your lawyer approve the franchise contract you are considering after he or she studied it paragraph by paragraph?
Does the franchise call upon you to take any steps which are, according to your lawyer, unwise or illegal in your state, county or city?

There are various business types available in the franchise industry today. It is very useful to discuss these types for you as a potential franchise investor to help you assess the best one for you to take. Definitely, your chosen franchise opportunity should fit your total personality, skill set, lifestyle, and investment budget among other elements.

e recent economic instability and uncertainty in the marketplace is exerting a far-reaching impact that, for some professionals, influences much more than just the bottom line. Challenging times often inspire new solutions and provide many individuals with a heightened degree of analytical and strategic insight into the business model that works best for their personal circumstances.

Franchising has been around for over a Century. Franchising helped manufacturers distribute their products throughout a region. Franchising has come along way, and the popularity in the last 50 years has exploded. What are todays franchises? What products are selling?

Albert Singer developed a sewing machine. He made use of "franchising as a way to distribute his machines over a larger market. His market began back in 1851.

Before you decide which franchise you're going to choose, you need to take a while to consider your five year goals - this is in respect not only to the financial aspect, but also, your own life goals as well. Are you someone who doesn't want to be tied down to the area, who enjoys traveling? Then you'd want a more hands off operation.

Stuart Frankel isn't what you'd call a power player in the world of franchising. Five years ago he owned two small Subway sandwich shops at either end of Miami's Jackson Memorial Hospital. After noticing that sales sagged on weekends, he came up with an idea: He would offer every footlong sandwich (the chain also sells 6-inch versions) on Saturday and Sunday for $5, about a buck less than the usual price.

Last summer, when the butcher paper came off the windows at the former Starbucks in Seattle's Capitol Hill neighborhood, locals found a narrow little cafe called 15th Ave Coffee & Tea, serving espresso pulled from a manual La Marzocco machine by hipster baristas with a flair for latte art. Drip coffee is made cup by cup from small-batch-roasted beans brewed in an $11,000 ceramic-filtered Clover machine.

Whether it's hamburgers, pizza, telecom, coffee, Internet, muffler parts, or seniors' services, there are Franchise opportunities available to evaluate. There are great Franchise systems, good Franchise systems, and bad Franchise systems. The challenge is to ask the right questions to find the right system that will fit your goals and dreams. The key is to ask the questions - and listen closely to the responses.

How can I go about investigating a particular franchise that I am interested in?

-Request an information packet from the franchiser.
-Interview owners of current franchises.
-Research the industry and other franchises in this industry.
-Seek expert advice to better understand the franchise agreement.
-Review costs related to getting into this franchise and compare them to the costs of starting a nonfranchised business in this industry.

You may be sitting there asking yourself if you have what it takes to become a success if you buy a franchise. You have already looked into everything you needed to about the franchise itself, assessed your own goals and path and now, you wonder, can you really do it? There are many traits to successful franchisees that you won't find in those who didn't succeed.

It may surprise some to learn that Canada has had franchise legislation since the early 1970s.   That is when the province of Alberta chose to introduce franchise legislation of the type then favored in the United States: disclosure with registration.  This was an anomalous legislative development, as the volume of franchise activity in those days was miniscule by today’s standards.

Why should I purchase this particular franchise?

A franchise may need to be looked at from a product or service comparison prospective. While one franchise’s product or service may be suitable in a geographic area, another may not be. When evaluating a franchise, close attention needs to be spent evaluating:

Buying a franchise business is something that should always be approached with a great deal of caution and research. You should make sure that you comb over every detail of the franchise you wish to purchase and make sure a competent franchise attorney looks over ever document the franchisor provides to you.

Franchising Strategy

PrePurchase Detective Work

In addition to the routine investigation that should be conducted prior to any business purchase, potential franchise buyers should be able to contact other franchisees before deciding to invest. They should also obtain a uniform offering circular containing vital details about the franchise's legal, financial, and personnel history before signing a contract.

The Franchise Disclosure Document (FDD) is a treasure trove of information for anyone serious about examining a franchise opportunity. It contains all of the information that state and federal franchise regulators consider relevant to a franchise investment, and it is indispensible to a franchise purchaser.

The Keys to Franchise Business Owner Success

The value of the brand, the location, the support provided by the franchisor, the quality of the product or service, local competition, and the economic climate...they all influence business success. We would expect the potential franchise business owner to investigate these factors thoroughly as part of the due diligence process.

Franchise consultants assist businesses that are ready to explore franchising as a means of growing their presence and market share. They also assist potential franchisees to find the ideal business opportunity for them.

Many successful businesses choose to grow their business in the normal way by taking on more staff and more premises in their target markets.

"In 2010 Franchising will be the most successful way of market expansion." - J. Naisbitt

So what fits YOU better - a traditional franchise or a virtual franchise?

If you can say YES to 7 out of the following 10 questions, then a TRADITIONAL franchise may be a good opportunity for you!

Significant numbers of established franchises are offered for re-sale in the franchise industry. Owners sell for a variety of reasons such as: cashing in for retirement, spouse job relocation, family circumstances, health issues, other business interests, narrow margins because of poor management and banker pressure. These present opportunities for buyers. In our 2009 economy asking prices are down and terms are loose.

Thinking of buying a franchise, but don't know what you need to know before you go into it? Don't worry; we're here to help with some essential questions that you'll want answered.

There's a ridiculous amount of franchises that people can buy into; some are good, some are bad, some might even be scams. It's working out which franchises are worthwhile (there have to be some, some franchisees become millionaires) that's difficult.

An interesting combination of factors at this time in history may be the reason so many women are turning to franchising to fulfill their entrepreneurial desires. Women’s increased financial power, better education, and corporate experience, combined with their desire for more autonomy and desire to connect with others who share their values make franchising a great fit for many women.

New franchise opportunities are springing up everywhere, and people are rapidly buying into them. A franchise may definitely provide a great business opportunity with a greater chance of survival than a traditional business startup. Here are some reasons why a franchise business opportunity may be just what you are looking for.

You have been bitten by the Entrepreneurial bug. You want to start your own business and you are considering purchasing a franchise. Certainly worth considering. There are many great franchises in operation throughout the world today. Like everything in business, this is a decision which will have a massive impact, not just on your life but on the lives of your family, your friends and your acquaintances.

A study by The Institute for Operations Research and the Management Sciences showed that 91% of successful franchises have one common thing written in their franchise agreement: exclusive territory. That is enough to tell why you should know about this part of your franchise agreement thoroughly before you actually buy a franchise.

Investigating Franchise Offerings

Before investing in any franchise system, be sure to get a copy of the franchisor's disclosure document. Sometimes this document is called a Franchise Offering Circular. Under the FTC's Franchise Rule, you must receive the document at least 10 business days before you are asked to sign any contract or pay any money to the franchisor.

Selecting a Franchise

Like any other investment, purchasing a franchise is a risk. When selecting a franchise, carefully consider a number of factors, such as the demand for the products or services, likely competition, the franchisor's background, and the level of support you will receive.

Many people dream of being an entrepreneur. By purchasing a franchise, you often can sell goods and services that have instant name recognition and can obtain training and ongoing support to help you succeed. But be cautious. Like any investment, purchasing a franchise is not a guarantee of success.

The Benefits and Responsibilities of Franchise Ownership

If you are interested in starting a business and thinking about buying a franchise, it will help your planning to compare the franchise opportunity with the opportunity of starting an independent business.

In a sophisticated business plan for a startup business, the business is contemplated to begin (produce a product or service for an identified market), to accomplish a profit cash flow...

Although it may not be immediately evident, a franchise company is under no obligation to award a franchise to just anyone who can afford the franchise fee.

Like any good business, a franchise company will want to populate their system with great people. Since franchising has as its foundation a strong, consistent brand, a franchisor looks for franchisees who will present the brand in the most positive light.

When you are starting a franchise, a big part of your due diligence process should be devoted to conducting extensive market research. A thorough market research is mandatory, if you want to become successful as a franchisee. But, many novices fail in spite of starting a franchise of a top franchise opportunity, just because they don’t do proper market research. You may find the product/service great, but if there are not enough people to buy it, then it is of no use.

We get so caught up in the daily life of running a business, it’s easy to miss the forest for the trees.

Not that you have a choice! You’re fighting fires, handling a pissed-off customer, rending your face over an emergency bug-fix, the website just went down, and the accountant is coming tomorrow and the books are in shambles.

It may surprise some to learn that Canada has had franchise legislation since the early 1970s.   That is when the province of Alberta chose to introduce franchise legislation of the type then favored in the United States: disclosure with registration.  This was an anomalous legislative development, as the volume of franchise activity in those days was miniscule by today’s standards.

Food franchises are the iconic picture of a franchise and, believe it or not, have actually been one of the minute few industries that have shown growth during our recent recession. Before you make the assumption that food franchises are invincible, understand that they have gained the recession-resistant status through the hard work of building strong brand names and products that appease the American appetite without devouring the American wallet.

From the leadership positions they hold, to the purchasing power they wield, women and minorities play an important role in the overall U.S. economy. Women and minorities have a presence in every industry and their contributions fuel economic growth. Hispanics alone account for 15% of the U.S. population, and by 2050 that number is expected to nearly double to 29%.

As a small business owner, you will probably lose some business during the downturn, despite your best efforts, as client companies cut their budgets, shift strategy, or, sometimes, go away altogether.

The economic downturn has made client and investor retention trickier than ever. Business owners have to do a lot more to compel investors and clients to make long-term commitments and agree that investing in their services or products are essential.

Consistency lays the foundation and creates expectations, employees, franchisees, vendors and customers.

Promoting consistency within any system is tantamount to laying   the cornerstone of a great company, for the consistency which you create, develop, nurture and enhance will eventually permeate your organization.

Given the choice between purchasing a box of Honey Nut Cheerios to help benefit a local school or buying a similar brand offering no such promotion sitting on shelf next door, many people will choose the charitable offer.

Consumers are more likely than not to support corporations pitching offers that benefit a worthy cause, particularly in this economic climate.

Franchising is the preferred vehicle for many to join the business world. It has become more important than ever, as the country is undergoing an economic downturn and jobs are being curtailed. Even corporate people are turning towards owning their own business to get away from jobs in which they are unhappy.