If you are interested in opening a business, you may not want to start completely from scratch. By opening a franchise, you can access a company’s name, goods, supplies, training materials and marketing help in exchange for a predetermined franchise. There are loads of different types of franchises, including restaurants, gyms, automotive services, child facilities, beauty and travel agencies.
Decide on the type of franchise industry that you want to open. You can get an idea by looking through directories of franchise opportunities. The website Entrepreneur has a detailed listing of franchises in numerous different areas of business.
Review a copy of the Uniform Franchise Offering Circular before deciding to open a particular franchise. This report provides statistics on the franchise’s history, financial earnings, purchase requirements and other pertinent information. The franchise you are interested in will present you with a copy.
Consider your financing options. You will need to pay numerous costs in order to open a franchise, including a set fee to the franchise owner as well as traditional start-up costs, such as a building lease, supplies, staffing, advertising and training.
Apply for funding to open your franchise. Your financing for the franchise may end up coming from bank loans, SBA-sponsored loans or lease options.
Sign the franchise documents after reviewing the contract and the applicable fees that you will need to pay to the owner. Besides the set fee, you may have to give the company a portion of your monthly sales. After the contract has been finalized, the franchise owner will send you all of the materials and supplies needed to open the franchise. After construction is complete and you are nearly ready to open, the franchise owner should be available for support and assistance with staff training.