HOW TO BUY A FRANCHISE
Buying a franchise involves buying the rights and support systems to
own and operate a business that as been designed by someone else. It
is a common way of establishing a business.
Usually, franchise networks are based on a successful business
established in one original location. Franchise outlets may then be
established in other locations. Each location uses the same company
name, operating system, purchasing procedures and management system,
and benefits from general advertising campaigns. Each franchise
outlet receives varying degrees and types of franchise supports.
SOME EXAMPLES
1. Many fast food outlets such as McDonald’s Burger King and Kentucky
Fried Chicken are franchise operations.
2. Other common types of businesses which may be franchised are real
estate agencies, restaurants, hair salons, building supply outlets,
dry-cleaners, picture-framing shops, lawn maintenance services,
fast printing services, quick photo processing outlets, automobile
repair and parts shops, sports equipment stores, computer stores,
video rental outlets, home security firms and machine vending services.
HOW TO DO IT
1. Find and read publications relating to franchising, to learn about
its advantages and disadvantages. Good sources of information include
local libraries, as well as Business Info Centers.
2. Identify types of franchise operations you would like to explore by:
a. reading newspaper and magazine advertisements and franchise
trade journals;
b. joining franchise trade associations; and
c. noticing franchised businesses in other locations which may work
in your area.
3. Work at a franchise outlet of a business which interests you.
4. Attend franchise trade shows.
5. When you have selected the type of franchise which most interests you,
identify and talk with potential customers to determine their need
for your products or services.
6. Talk with a few franchisees for information on being part of a
franchise operation.