Why Franchise?

Franchising' primary purpose is risk minimization. Numerous studies have shown the success rate of new (non-franchise) business startups concludes the same. Starting up a new business is very risky and show that over 90% fail within three years. A recent Gallup Poll of franchisees found that over 94% considered themselves successful and that over 75% would buy their franchise again if they had it to do over.

Another reason why it is prudent to buy a franchise is that a franchise investment can be thoroughly researched before any significant expenditures are made. With a new business startup (non-franchise) you are always operating in the dark. No matter how much research you do it is very difficult to get a handle on so many aspects of the new business. With a franchise the franchiser is a wealth of information about the business from how to prepare a pro forma to the best personality traits for the business. But the most important information comes from the existing franchisees.

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