Why You Want To Own Your Own Franchise Business
From our experience, just about every single person on this earth, at some time in their lives, experiences a desire to own their own business. Some people address this urge very early on in life – and open lemonade stands or become internet whiz kids! Some skip a formal education and become entrepreneurs. Some receive a formal education – and still become entrepreneurs. Some buy existing businesses. And many, many others become franchise owners.
Regardless of the route an individual might take to become a business owner, these owners, say when interviewed, that they believe they work harder, earn more money, and live happier than if they had been employed. Why do you suppose they believe this?
Probably because it is true.
Owning a business can be hard work – no doubt about it. And you probably know that anything worth getting in life tends to require some work! If you don’t want to work relatively hard, say at least 40-60 hours a week, for at least the first several years of owning your business, you probably shouldn’t consider full-time ownership. Because with any business, you have to build your client base – and this effort doesn’t occur without a little blood, sweat and tears. It’s a path that can take two steps forward and one step back – or better yet, let’s say you gain 10 clients and then lose one. And you have to repeat this pattern, over and over, again and again – until, whoa! – after a few years you have a steady base of clients and referrals and business! That is, assuming you deliver to your clients what you say you’re going to deliver.
But do business owners really earn more money? Yes, they do. Business owners are leaders by nature…leaders in their community, in government and policy, in their immediate and extended families. And they know how to lead others toward results. Usually, they tend to be multi-faceted individuals – with interests in a lot of areas. They want to make a difference in their lives, to ensure they saw through their own potential – and didn’t take “the easy route.” And they want to be compensated for this. And they make sure they are. With that kind of drive, focus and ability, they tend to be in the top 10% of money-makers in our country.
And happy? Too often you hear career advisors saying something like, “do what you love and you will succeed.” There is some truth to this old adage, but it also plays to a person’s idealism and isn’t terribly practical. We would prefer to say “you make your own happiness in this life”— because this statement tends to come closer to the prevailing attitudes of the winners we see every day in business. Fact is, any decision you make in life is going to contain risks and rewards – and the sooner you learn this, the happier you are. Even jobs contain risks. So happiness is relative. For some – freedom to make one’s own decisions brings happiness. For others, it comes from an ability to make ALL decisions. For others, the appeal is in gaining control over one’s destiny and time – even more so than the money they might make. And so on. In other words, most business owners recognize that once they make a decision – they make the decision work for them, not against them. If they aren’t happy with their choice, they move on and try again – and learn from their mistakes. So “happiness” becomes something they create, not some illusion that they sit back and hope will come their way.
So – if ownership, in general, certainly has its benefits – what then does franchising bring to the party? Here’s our list…
What You Get – When You Purchase A Quality Franchise
- A Proven Operating System – complete with manuals
- Focused and Comprehensive Initial Training – to start you off properly
- Ongoing Operations Training and Support – so that you grow with your business
- Marketing and Sales Training – so getting customers isn’t “rocket science”
- A Proven Marketing Plan – not one that you have to test and test and test, until you get it right
- Ongoing R & D (research and development) – so that your franchise grows and adapts with the times and changing customer needs
- 24/7 Customer Service Support – so that you are NEVER alone in your business
- Defined, Targeted Territories – using sophisticated demographic data
- Technical and Administrative Support – including management software, IT advice, web support, and franchise-specific legal, accounting and tax counsel
- A Brand Name and Image – that grows and grows and grows in value
In addition, with many franchise companies you may also receive, as appropriate:
- Site Support from leading real estate companies, including location, negotiation and lease education and counsel
- Hiring and Employee Profiling support, so that you can get the best staff
- National Contract support, where leads are passed along to you if a national company under contract has presence in your territory
- Significant Cost Savings from bulk equipment buys
- Licensing, Bonding and Insurance support and savings
- HR Software support and counsel
When most people see this kind of comprehensive list, their first reaction is, “wow!, I had no idea you get that much.” The perception most people have, going into their investigation of franchising, is that you would get the franchise company name over the door, and access to their product or service – and beyond that – you’re pretty much on your own.
Nothing could be further from the truth. That is, with the quality franchise companies – the kind The YOU Network strives to include in their portfolio of companies.
Quality franchises are developed to largely be “turn-key.” What is meant by this is they are developed and packaged, if you may, in order to provide you everything you would need to get started in business. But you have to put in the sweat. It doesn’t “do it for you.”
So – unlike regular business ownership, you could say that franchising has already taken care of a significant number of the requirements, and most certainly the “headaches,” of starting up a business. But there are also advantages in owning a franchise versus corporate jobs – and, if you are like most others, these are the advantages you probably haven’t begun to think about:
- Lifestyle flexibility – In a job, you can only work so many hours a week on a steady basis, without becoming physically and mentally exhausted. As an owner, you can delegate to others staff members, and gain some flexibility. Furthermore, you may work the hours you want to work, when you want to work them – not as dictated by a company. If you want to work only early evening hours and weekends and have traditional office hours free, then you can seek a franchise that can satisfy this – or vice versa. And, depending upon the business, you may even be able to work from home, rather than a rented commercial or office space.
- No more bureaucratic politics – Franchise companies thrive on collaboration among owners. As each owner has a protected territory, there exist virtually no in-fighting or political barriers that keep people from sharing ideas and results – for the betterment of the whole organization.
- No capped income – In a job, your salary “is what it is.” Your income is in the hands of your supervisor, who can never pay you what you think you are worth to them. Partial or straight commission jobs may allow you higher income than a straight salary, but you lose a certain degree of predictability. As an owner, you can delegate to other staff members, increase your marketing or sales, and meet or exceed your financial objectives – as needed.
- Favorable tax structure – One of the great things about America is that its tax structure offers a lot of advantages for small businesses that are not available to employees. A small business accountant can explain what deductions are available to your business – thus reducing your tax exposure and also increasing your long-term equity potential. Similarly, as an officer of your company, should you choose to incorporate, there are various deductions available to you through your company that can also save you money on personal taxes. Again, these are conversations you should have with your tax accountant.
- Equity potential – Most employees wake up at age 40 and realize that if they are not already part of the elite 1% in their company – they aren’t going to advance much further. And, therefore, their opportunity to build equity through employment is non-existent. Their choice, for achieving that illusive equity they need for retirement: they either start their own business — or find lucrative outside investments that will help them achieve long-term equity goals. Franchising has a proven track record that is far superior to that of individual business ownership – and thus offers an owner a much better chance of achieving that equity goal.
How do you choose – starting on your own, or buying a franchise?
If the concept of business ownership is brand-new to you, you probably want to consider franchising first. The support, training, and ongoing boost you receive from a growing brand certainly puts “wind in your sails” as you learn what it’s like to own your own business.
Some people are often afraid that they can’t “be their own person” when they own a franchise – that the franchise is always going to be “telling them what to do.” For most people, even very strong-willed individuals, this is simply not the case. What does occur on occasion – is that new owners come into a franchise and immediately begin trying to “reinvent the wheel” instead of following the marketing plan and operating system laid out for them by their franchisor. In this instance, the franchisor will likely tell them they are being foolish, and perhaps also ask why they bought a franchise to begin with, if all they wanted to do was “their own thing?” If you have never been able to take direction from others, than perhaps you shouldn’t consider franchising – but statistics show you would certainly be in the minority in doing so.
Working with The YOU Network, you don’t have to make a commitment to buy a franchise – only a commitment to learn about franchising. Then, as an adult, you can make the choice that’s correct for your particular situation.
Let us help you get started.