Franchising is a great business idea but a tough one as well
It is not uncommon to find that businesses can fail soon after they have started. In fact, statistics show that about one in every three businesses fail within one or two years. But when you include franchise businesses in the equation, these statistics drop significantly. This is because, when a franchise is bought, it is not just the name that is bought but also a strong business plan and support structure that will increase the chances of success.
Why franchises are more successful
The reason that franchises are more successful than other kinds of businesses is because these businesses already have a name and customer following established for themselves. In addition to this, franchisees are offered as much support and help as needed to get them started and keep them on their feet. With this kind of support and a strong customer following, it is much easier to ensure that a business succeeds.
Franchising is not all that easy either
Although it may seem like running a franchise is much easier than a regular company, it is not necessarily true. It takes just as much hard work and perseverance to run a franchise as any other kind. This is because companies that are franchised establish higher customer service and satisfaction levels, which in no case should be allowed to drop. Allowing these levels to drop would mean a bad image for the entire company.
It is for this reason that franchisors look for franchisees who are dedicated to serving customers and taking care of their needs before anything else.