Franchising forms a significant part of the economy in the UK
Franchising in the UK has become a very significant part of the economy and is growing in popularity. This growth in popularity is a result of the fact that franchising as a business opportunity allows you to live your dreams of becoming an entrepreneur without really using much capital.
It was just last year that the contribution of franchised business to the economy in the UK increased by over £5 billion to 12.4 billion. This is a clear indication that franchising as a business in the UK is growing in popularity.
What is a franchise?
Simply put, a franchise is an agreement where a company sells the rights to another person or group to sell its products or services. However, in reality, franchising is more complex and there are a number of different types of franchises and franchise agreements. Here are a few important things that one should ideally keep in mind and review from time to time.
- The nature of a franchise: This is very important as you should be able to match your own skills with the kind of business that your franchising company is into. Know your strengths and weaknesses before going into a business like this.
- The location of the franchise.
- The reputation of your franchise company. You should conduct thorough research into the franchise company of your choice and also find out the speculation that people are making about its future prospects.
Keeping these simple tips in mind can help you to ensure that you have taken the right steps as far as a franchise is concerned and makes sure that you are on your way to establishing yourself well in the franchise business.