When a small business owner starts their own business, they are motivated by factors such as the need to be in charge of a company’s operations and the desire to reap all of the financial rewards from their hard work. The option to own a business franchise offers an alternative to starting a business from scratch that appeal to a wide range of entrepreneurs. In most cases, a franchise was simply the best answer to an entrepreneur’s business question.
Real Business Motivation
When an entrepreneur is considering the best franchises to own, there are several different criteria they can use to make their decision. Ultimately, owning a franchise is expensive and requires a great deal of hard work. This means that the franchise owner should be prepared to dedicate most of their time and effort into making their business successful. But the unique structure of a franchise gives entrepreneurs options they do not have when starting from scratch.
When you invest in a franchise location of a national business, you get proven marketing and operational methods that have made other franchisees successful. The business professional who decides to take part in a franchise is able to avoid all of the costly mistakes that can sometimes close a business that started from scratch.
A franchise owner can examine a list of available franchises and choose the one that fits their geographic area best. For example, if your immediate area lacks a high-quality painting contractor with a national reputation, then buying a painting franchise makes a great deal of sense. The franchisee does not need to have any emotional attachment to the industry to find the motivation they need to work hard. Their motivation comes from knowing that they are filling a need in their area that could have a very large target audience.
Throughout their lives, budding entrepreneurs are exposed to a variety of businesses that inspire thoughts of company ownership. In some cases, a franchise business gives entrepreneurs the chance to live out the dream of being an owner of one of those companies their families patronized when the entrepreneurs were young. In this way, buying a franchise offers the same ability to fulfill a lifelong passion that comes with starting a business from scratch.
Buying a franchise allows an entrepreneur to take a shot at starting their own business with a reduced level of risk, and with a better return on their initial investment. As you start a business from scratch, you will inevitably lose a great deal of money while developing successful business and marketing processes. With a franchise, your initial investment gets you marketing and operational support that has been proven to be successful in many markets over many years.
Is Buying a Franchise Better than Starting a Business From Scratch?
We have discussed many of the benefits of franchising that motivate entrepreneurs to buy franchises of their own. But can it truly be said that buying a franchise is better than starting a business from scratch? In many ways, the franchise business model is far superior to anything an entrepreneur can come up with on their own.
In general, franchises have better financial success in their initial years of operation than businesses started from scratch. Owning a franchise removes expensive guesswork from the business process that often plagues businesses that start from scratch. No business professional wants to open a business with the prospects of losing a lot of money right out of the gate, but that is what you are facing when you start a business from scratch.
The other big benefit to buying a franchise is the system that comes with it. Every franchise company has spent years cultivating and developing its business system to be successful. While not every franchise business can be the best in its industry, the systems franchise companies put in place can help franchisees to get through difficult financial times and grow the business even faster when the economy is strong. It takes years to develop successful business systems from scratch, and most small businesses never make it to the point where they can use their systems to their benefit.
The pursuit of success is one motivation that all business professionals share. When getting involved in the world of franchising and what it offers will benefit over starting from scratch. Many entrepreneurs find these incentives difficult to resist.