Task ahead of you – placing money in order to generate income? Then why not invest in a stable and profitable business, and that more difficult – to find itself. One of these may be buying a franchise, that is, You are invited to think about investing their own funds with franchising. What is it? Franchising – an operation in which the company is "franchisor" sells, licenses for the implementation of its services, according to their methods and to show their trademark. The buyer, let's call it "franchisee" shall conduct their activities according to the rules prescribed by the franchisor. In return, the franchisee, as noted earlier, has the right to use the name of the company, its reputation, to sell its products and services, use the franchisor's marketing techniques, etc. For this to happen, the franchisee makes an initial payment (lump), and then another, and charges (royalties). All relationship defined by the contract.
Thus, a franchise like rent, because the franchisee does not own a trademark, and will not be so. Now for the "franchise". Franchise – a package of rights passed to the franchisee. Franchise includes a variety of law, technology, etc. After buying a franchise franchisee uses the reputation of the franchisor and trademark. Taking into account the reputation of the franchisor, the interest franchisor in the qualitative distribution of its brand, it is the guarantor of full support. And as the idea is to help solve arising problems.
However, the restriction of the freedom of doing business by franchisor, appears along with the rules. Also, there is a need for cooperation with other franchisees, after all, you are one big network, the team, you are interconnected and must work together. It is necessary to be careful when choosing franchise. Franchisor may be unable or simply unwilling to help you. So, you, nevertheless, decided to buy a franchise. The effect will be to cause that much. However, finding the first sentence of the sale of the franchise, do not rush it buy. Learn all you are interested in the proposal. Create your own, your own business plan. Find out about the number of successful franchisees. The ratio of the franchisor to the franchisee. It may be that the franchisor's own shifts risks to the franchisees. Does not provide the required number of working papers. This is the case only buy the name, but in reality assumed a number of other components. Pre-made marketing research business franchisor, the business line to your region. Prior to signing the franchise agreement carefully read the materials franchisor. Talk to other franchisees. It is important to match the price requested by the franchisor and the franchise cost. Avoid the Franchisor, the high cost of the franchise, but provide scant support for collaboration, as well as those who ask the normal price, but little support. Pay attention to cooperation with the franchisor in the future. There will be advice, whether the training? Help with accommodation and financing? Discuss all this with the seller. To study the agreement. Please keep in mind when the franchise may be canceled. How will you make payments? It will be a fixed payment per period, or for goods supplied by the franchisor? Fixed payments of interest, when taken into account the results of your activity. Determine your potential franchisor operating a franchise member of the association? Visit your local Franchise Association. Learn about your counterparts as much as possible. New working environment consultation with specialists, having considered all the risks, buy a franchise. And good luck in working with her!