If you are considering buying into a franchise there are many things to become familiar with. Enlist your accountant and lawyer to run through all the issues and business considerations needing to be taken into account when plunging into the franchise game.
At the very least, these are some of the things to think about before you start getting serious about buying into a franchise.
1. You are buying into an established business
One of the main benefits of buying into a franchise is that you are entering an established business with an established brand in the community. There’s no grappling to get your product or service known as they’ve done the groundwork for you.
2. There are franchise fees to pay
As a franchisee you are working of an established, and more than likely, successful business model – but this does come at a price. Most franchises have hefty franchise fees you need to pay for the benefit of working under their umbrella.
3. You have marketing back up
Those fees to have their benefits though! As a franchisee you will benefit from provided marketing materials generated from your head office to ensure all franchises have consistency across their marketing efforts.
4. You may be limited in your business expansion
In order for a franchise to remain viable, the service needs to be consistent across all franchises. As a customer, you expect the same product or service from one franchise to another. For that reason, you may find any new ideas or ways of practice may be limited to ensure your franchise stays in the bounds set by the franchiser.
The first step is to contact your accountant and lawyer to fully understand the obligations as a franchise to see if it is the best fit for you.
Lvl 20, Tower A, ‘The Zenith’, 821 Pacific Highway, Chatswood
P: 02 8448 8160
Lvl 13, 50 Cahill Ave, Surfers Paradise, Gold Coast
P:07 5635 4261
Lvl 39, 385 Bourke St, Melbourne
P:03 8459 2175
Postal Address
PO Box 2519, Green Hills, NSW 2323
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