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With COVID hopefully behind us, there are things we will all be able to enjoy once again, and others that we will not. Not everyone is cut out for commuting to work and being stuck from nine to five. The one advantage that many workers enjoyed due to the pandemic were the freedom that it gave them to work remotely. There is a reason labor shortages are plaguing the workplace: not everyone is looking to go back to the status quo. For some, that will mean that they have to switch gears and find nontraditional opportunities, like owning a business. 

Changing Priorities

Several studies about how COVID altered the way that we live, work, and commute have shown that it forever changed the way that people view their priorities and the importance of work/life balance. Especially for men, the traditional role of staying at home or working from home is not only becoming the accepted “norm” - flexible settings and part-time jobs are quickly gaining in popularity across the genders. Statistics show that 80% of all workers surveyed said that they would rather work from home even after the pandemic was no longer an issue, and 45% wished that they could spend a minimum of half their time at home going forward.

Only about 50% of workers interviewed said that they missed their pre-COVID position. 71% of those working from home enjoyed their more domestic role, with 53% of workers believing that working remotely helped them achieve a better work/life balance than in an office setting. This recalibration in beliefs is becoming the new reality in a post-COVID atmosphere. So what does that mean for the average worker? 

Is It Time for a Change?

A shift in our roles as adults and workers is leading many to wonder if it is in fact time for a change. Many are asking themselves if they are satisfied with their career path, or if perhaps there is a better way to find success, both professionally and personally. If you are one of the many who are wondering if your pre- and post-COVID goals align now that we have returned to post-COVID normalcy, here are some signs that what you wanted before and what your goals are now simply aren’t jiving. 

10 Signs That It Might Be Time to Quit Your Job and Switch Gears

Sure, everyone has days where they wish they were in a different position or that their given career was different - but if you are having doubts daily or are constantly questioning the path you are on, then it might be more than just a bad day. It might be time to quit and find another avenue.

1. Your Gut

The key is to follow what your gut tells you. If you wake up wishing that you didn’t have to head to the office again, then that is a sign that you are unhappy with your current career. If you ignore your feelings and continue to try to make a puzzle piece fit where it doesn’t, it can start to affect your happiness and your health. Dreading going to work is a horrible feeling and one that will likely not change over time. If you hate the thought of making that trek to work, and you hate being there, even more, it is time to pack it in and hand in your two-week notice.

2. You Procrastinate More Than You Get Anything Done

No one wants to do things that they don’t like. When you think about all the chores you have, the very last one that gets done is the least liked. The same is true of a job that you hate. If you find yourself avoiding doing your job more than “getting it done,” that is a true sign that you don’t like what you do. If there is nothing about what you do that gives you a little personal satisfaction kick, it is time to get out!

3. Your Health is Suffering

If you find yourself calling in sick more than actually heading to the office, then it might be your subconscious telling you it is time to make a change. Whether you are really sick or if you are just sick of being at work doesn’t matter. If you are resorting to avoiding as many days as you can or are physically sick due to the unhappiness you feel at work, then it isn’t worth it. It is time to switch gears before it does some real damage to your overall health.

4. You Constantly Complain About Work

When you find that nearly all of your conversations lately are about how much you hate your job or how bad things are, then you are obsessing about your misery, and misery certainly does not like company. If all you can do is talk negatively about your job to co-workers, family, and friends, then it is encroaching into all aspects of your life. When your job makes you a negative Nelly, it is time to cut it loose.

5. You Know You Are Overqualified

Everyone considers taking a job that is a little beneath their talents and skills, but if you are in a job that you are completely overqualified for, then there is no other way to feel stuck. A job isn’t supposed to be 100% about satisfaction, but if you feel like you aren’t being challenged or finding any fulfillment, you need to move on and find some worth in what you do elsewhere.

6. You Hit the Ceiling

The glass ceiling is nothing but depressing. If you are working overtime and there is nothing to aspire to but the end of the day or clearing your workplace, then that won’t make you grow professionally or personally. And if you aren’t growing while the rest of the world is growing around you, that just makes you stunted. Staying in a position for too long might seem like a breeze, but after a while, it will bring you nothing but boredom.

7. You Find the Negativity

If you are negative about something as critical as your career, then it is going to find its way into your world and your psyche. A toxic environment will bring down all the joy that you feel both in the workplace and beyond it. Pessimism is also a surefire way to kill any passion or inspiration that you feel, because it just squashes everything around you. Stop the breeding grounds and find your happy place once again elsewhere.

8. You Find Yourself Keeping Your Mouth Shut

A career is something that you should be able to grow with and make your own, but if you keep your mouth shut instead of voicing your opinion, after a while that is going to make you want to scream out loud. You shouldn't feel stuck doing the same thing when you know that there is a better way to do something. If you do feel that way, then it is time to take your talents and use them elsewhere. 

9. You Find Yourself Justifying Why You Stay

If everyone in your life can see your work unhappiness, then that is a sign that it is time to quit your job and move along. No matter what you tell yourself, you know the truth, and so does everyone around you. Denying it only prolongs the steps that you should take to find your true passion and begin enjoying what you do again.

10. You Are Reading This Article

When you are happy with something, let’s face it: you don’t go looking for advice from articles that will give you the answers you already know. The fact that you are looking for other avenues is the first and most important reason that you should consider leaving your current job and finding one that fits you better.

Entrepreneurial Solutions to Unemployment

Not everyone is born with an entrepreneurial spirit, but that doesn’t mean that you can’t develop one. Self-employment and entrepreneurship are two of the best ways to accumulate wealth, and in the new face of employment, they might help you to escape the day-to-day torture of the old status quo. Up until the COVID pandemic, traditional education and skills training were solely focused on obtaining a job, but there need to be better solutions for those who are not willing to sacrifice their wants and freedom to trade their time for someone else’s wealth. As a society, we need to find innovative solutions to tackle unemployment and labor shortage issues and match skills with other, less traditional ways to earn a living.

Business Ownership is a Significant Source of Economic Growth and Employment

Business ownership not only helps the business owner grow; it helps the economy as a whole. A new spirit or idea of seeing business ownership is a possibility for many needs to be developed to bridge the changing work atmosphere, as well as people’s professional and personal goals. Entrepreneurial thought should not be rare; it should be the ideal way for workers looking to bridge the gap between pre- and post-COVID careers and occupations. 

Franchising Is Not New, But It Is the Answer for Many!

There is nothing new about franchising. It has been around for decades - and in theory, probably centuries. The only thing that needs to be altered is the notion that not everyone can own and operate a franchise. It should not be considered out of the ordinary, but something for the ordinary or average worker to consider. Franchising allows workers to work as their own boss, remotely, and at a given career of their choosing. 

Real-Life Franchising Stories, How Franchising Has Changed Lives, All in Their Own Words

These are excerpts taken from LinkedIn, showcasing the many ways that franchise ownership has changed lives for the better. These are average people who took a leap and decided that the status quo was no longer going to be their status quo. Just read what they have to say about making the switch from employee to business owner. These are all people who teamed up with Frannexus to find a new lease on life.

Joseph Boyd - I first connected with Seth in late 2019 to discuss potential franchise opportunities, but I was at least 7-10 months away from being able to start up a business. Seth did not try to rush my decision and was extremely patient as we narrowed down possible franchise opportunities. Through several rounds of discussion and insight, Seth helped me narrow the franchise prospects down to two. Seth was a great resource and extremely supportive while I performed my due diligence on each model. After I committed to a model, Seth has continued to check in to make sure everything is going smoothly prior to start-up and has reiterated that he will continue to be available when needed. I would recommend anyone that is exploring franchise opportunities to utilize Seth’s expertise.

Regina Armstrong - Seth is the real deal!!! I had no direction and was unsure about which franchise opportunity was right for me, but once I linked up with Seth, he walked me through the process step by step. I'm so happy that I was fortunate enough to be one of his clients and he helped me find the business model that was best for me.

Imran Rahman - I can't endorse Seth's expertise, coaching style, and authenticity enough. We met at the very beginning of my journey into small business ownership at a time when I was exploring a broad range of options for the next step in my career. Seth had his work cut out for him, but he took the time to truly get to know me, explore my passions, and guide me through a long and winding decision-making process. I know I made the right leap for myself and my family, and I credit Seth's ability to help me define my path.

Tips for Exploring Franchise Opportunities

If you are finding that the return to post-COVID normalcy in the workplace is not what you want, then you should consider becoming a franchise owner to find freedom from the workplace and a better life/work balance. The first step is to find your passion and then match it with the right franchise opportunity. The best advice that you can take is not to head to the internet and start your search. Frannexus has helped hundreds of people like you find their inspiration and start down a new path of wealth accumulation instead of trading their labor and time for someone else’s wealth. 

The Frannexus team can work closely with you to find a franchise that fits your goals, is within your financial constraints, and can help you enjoy life in a post-COVID world and beyond. Remember for all the bad things that happened during the pandemic, there is a way to take lessons learned and make them work for you, instead of working in the capacity you did before. Contact us today to get started on your new normal. 

When it comes to building wealth, the American Dream can feel very unrealistic and out of touch for the average person. The reality is that becoming a self-made person is less about digging in your heels and rolling up your sleeves and more about working smart with goals in mind. Although there are many ways to earn profits, two of the most common are that you can trade your labor to help someone else build their asset base, or you can be a self-employed business owner. 

When you trade your labor to foster the growth of someone else’s financial future, there is very little opportunity to save above and beyond your earnings. In most cases, all of your time is allocated to the wealth accumulation of the organization or company you work for. Therefore, to get ahead, you most likely have to work in your spare time to put money aside.

Being a self-employed business owner does come with perks that trading labor does not, but it also comes with increased risk and the necessity of being an industry expert, taking on the roles of marketing, sales, operations, and all other aspects that go hand-in-hand with ownership. 

So although you might have the freedom that comes with being a boss, it usually does not enhance your overall financial security or status that much more. So when it comes right down to it, the first two options of using physical labor in exchange for earnings sounds, well, exhausting and with no guarantee of ever achieving the wealth accumulation that you desire.

The Other Two Options to Achieve Income

The good news is that there are two additional options to earn a living, which are business owners and investors. In a business owner position, you don’t trade your labor to build someone else’s fortune; you have others using their labor to build yours. As a business owner, you still have to put in the time and effort, but your labor isn’t directly responsible for the majority of the revenue that your company earns. 

When you purchase a successful or established business model, such as a franchise, you are not in a position to work the grind for someone else to prosper. Instead, you prosper yourself while also enjoying tax advantages and the freedom that comes with being the boss. 

The main advantage of being an investor is that you have your money work for you instead of you for it. An investor reaps the benefits of passive income via multi streams and watches their finances accumulate without their labor required. And you can reinvest the income that you generate to incorporate new ways to accumulate money, enjoy your freedom, and live your best life. 

The Advantages of Being a Business Owner

As a business owner, you get the perks of paying yourself a salary, gaining tax savings, and gaining equity growth. In addition, as a business owner, you can make your own schedule, which means vacationing or taking days for family necessities, choosing where you live, and being in charge of things like what you wear, who you hire, and making the rules. 

Unlike being an employee, you also enjoy a great deal of job security and are not limited by pay halts or being stuck in one positional capacity. Business owners do not devalue an organization as they age or stay stagnant in salary when they hit a cap. As a business owner, your possibilities are endless. 

Traditional Business Owner Versus Franchising

Business ownership and franchising share a lot of similarities and benefits, but they also differ in some critical and advantageous ways. Statistics tell us that nearly 20% of all businesses will not survive the first year, with up to 50% not celebrating their fifth anniversary. 

So being a small business startup does come with inherent risks that might make you stop and consider the risk versus reward of being a new business owner. Franchising, however, has a success rate of 90% the first year, which is a lot less risky. And the percentages get better when you go out five years, ten years, etc... Franchises just have a higher likelihood of success. Franchises also enjoy many other benefits that are not afforded to small business startups.

They Come with Brand Recognition and Loyalty

When you open a new business, you have to start from scratch and win over consumers through marketing and advertising as well as branding efforts, which can take years to decades to develop. A franchise, however, comes with the reward of already having a brand presence and loyalty. When you buy a franchise, the difficulties that arise from laying the groundwork are already taken care of so you have things like brand recognition and brand loyalty from the moment you put up your “open for business” sign.

Ongoing Support

Starting a business alone is a make-it-or-break-it situation. In the beginning, you have to go it alone and often wear many hats because you don’t have the resources to pay other people. That can lead to you spreading yourself too thin and not having enough time to get the business off of the ground, or neglecting those things that help a business to succeed versus fail. 

Franchises come with the support of the franchisor who has “been there” and “done that.” Support is often given upfront with things like providing technological systems, hiring, marketing, and training. And typically, franchises also come with ongoing support once you are up and running to ensure the highest likelihood of success. With a franchise, you don’t have to muddle through the first couple of years to decades; you have a trusted partner who already knows the process and how to get from start-up to success.

Proven Playbook

Starting a new business comes with a tremendous amount of trial and error, and unfortunately, it leans heavily toward the error side. Since no one has ever traveled the same path, you are left to sort through the complexities and hurdles that come with small business start-ups. 

When you buy a franchise, however, you are given a proven playbook at the start. All you have to do is use that book and play by the rules and you are almost guaranteed to find success. There is no muddling through the process of trying things to see what works; you already know what works and implement it from the very start.

Buying Power

A small business startup is starting from scratch. That means that they have very little influence when it comes to purchasing equipment or necessities to get the ball rolling. And they typically pay retail for what they need, which can be costly and put a business owner in the red immediately. With a franchise, you have great buying power in bulk. Franchisors typically have the advantage of getting special vendor and bulk pricing, which translates into higher bottom-line earnings. When you pay more for the materials you need, you get the advantage of keeping more for what you sell- it’s just basic math.

Switch Gears Without Industry Knowledge

Being a small business owner means that you know the ins and outs of an industry and have the experience necessary to be an expert. A franchise allows you to switch gears midlife to do things that are outside of your wheelhouse. Since you are provided training, assistance, and a high degree of support, you can start a new venture without any experience or education required. That is very alluring for people who are working full-time in an industry that they no longer find satisfying and are just looking for a change of pace. Franchise ownership allows you to do what you want without going through the rigors of getting up to speed first. 

Securing Money is Easier

With the high failure rate associated with business ownership, it can be difficult to secure financing. Not many lenders are keen on taking on a new business model without proven success and so many uncertainties. Franchises come with a proven system and a road map about how to get where you need to be. Therefore, lenders are more apt to foster a new franchise purchase than to lend money to a small business owner who has made up a business model based on theory and speculation. 

How to Build Wealth Through Franchising

Although a franchise is less risky than a startup, not all franchises survive or have great earning potential, so it does matter which one you choose. Some specific habits and tactics will help you accumulate wealth when owning a franchise. The first and most critical one is making sure that you are starting with a concept that has the potential for exponential growth. For example, if your franchise is guided by things like territorial restraints, the locale that you choose is significantly going to affect how successful you are.

There are two types of franchise models - one being the “owner-operator” and the other being the “executive” business model. As the owner-operator, you are the boots on the ground overseeing the day-to-day operations and personally rolling up your sleeves. The executive model is one where you can build multi-units that work without your daily presence. They are managed by someone other than you, so other people are trading their labor for your wealth accumulation. 

There are many pros and cons to each type of ownership model. In the owner-operator model, you exert greater control over the quality and consistency of your operation, and it typically requires less capital to get started. But with an executive model, you can continue to work in another capacity while someone else runs the business, so you have multiple streams of income before you even grow additional units.

Scalability is also a major factor. Scalability means the measure of how much you can expand a business due to limitations of locale or other factors. When you buy a scalable franchise that doesn’t require the boundaries of a brick and mortar or the expenses of real estate and operational costs, expanding to multi-units is often much easier and possible. So although franchises have the potential to accumulate wealth and more of it over a shorter period of time, the type of franchise you choose does matter. 

Statistics tell us that 54% of franchise units are operated and owned by multi-unit owners.  When you consider that the more franchises you own the more profits you realize, multi-unit operations are going to be the best way to build your empire. So choosing the right franchise for you to grow quickly is going to be critical to securing your financial future and enjoying the independence of fewer hours at work and more hours at play.

Conclusion

In the business world, you can work hard and long hours, or you can work smart. The reality is there is only one clear way to accumulate wealth, and it doesn’t involve trading the hours of your precious life working to make someone else rich. If you would like the security and freedom of being your own boss, along with the opportunity to grow exponential wealth while minimizing risk, then a franchise is the way to go! 

A franchise gives you all the benefits of business ownership without all the hurdles of a startup. It does involve finding the right franchise to suit your needs and one that has the highest probability of success, but how do you know which of the thousands of franchises to choose? The good news is you don’t have to go it alone. 

At Frannexus, we have the advantage of not only knowing the franchise-buying process; we have an in with lenders and other financial resources to help you realize your franchise-building dream. Contact us today and let’s get you down the path of securing your financial future and finding satisfaction in your work/life balance!

Most people think that they can only dream of becoming their own boss, starting a small business, and the prospects of growing and expanding. The reality is that the only way to accumulate wealth and secure a financial future is to become a business owner. Once you decide to leap into business ownership, that is just the first step. Next, you have to consider what types of industries, business model types, and opportunities are available to you. 

You can choose a new business startup, or you can opt for buying a franchise. Both come with their advantages and disadvantages. The key is to minimize risk while maximizing the potential for success and profitability. So which one is right for you?

What is a Franchise?

Unlike small "mom-and-pop" startups, a franchise is a business method that helps to expand an existing business by providing goods and services through a licensing relationship. 

Franchisors grant a license to a third party to conduct business under their trademark and trade name, and typically, they also offer things like operating systems help, support, branding, and other perks that make it easy to get the business up and to go and to help sustain its success for those who buy-in.

Business Format - Franchising

In terms of relationships in franchising, there are two types: business format and traditional or product distribution. A business format franchising method is where the franchisor offers the franchisee their trade name, services, and products and usually has an entire system to help operate a successful business. 

The franchisor also offers things like site and real estate selection, operating manuals, brand standards, training, development support, marketing and business support, and quality control measures to help get the business up and running and make it sustainable and profitable for the future.

The franchisor hands over the "keys to the kingdom" of success. Currently, there are over 120 industries that use business format franchising to take their product or service to market, including automotive, education, logging, commercial and residential services, retail food, senior care, medical services, restaurants, and real estate.

A traditional or product distribution format typically has higher sales than a business format. The focus on product distribution is not directly related to doing business but rather on the products supplied or manufactured to the franchisee via the franchisor. The products usually need pre-and post-sale service, as in the automotive industry.

Three Benefits of Buying a Franchise

When it comes to wealth accumulation, the only way to truly get ahead of the curve and stop spending your time helping someone else's fortune grow is by becoming a business owner. A new business startup is a risky proposition. When you consider that, on average, 20% of all new businesses don't make it to their second anniversary and that 45% of them won't make it to the five-year mark, opening a startup business can appear very challenging. Also, when you consider that about 65% of companies won't make it to ten years, the decision to be a business owner can be fraught with fear and trepidation.

 

Proven Systems/Business Models

The most successful franchise owners recognize that they may have to get their hands dirty and get to work until things pay off. If you understand that the fruits of your labor will take time to grow and ripen on the vine before being picked, you are m

Franchises differ, however, primarily because although they are technically a "new business," there is nothing new about them. A franchise is built on a proven business model that also comes with the perks of brand recognition and brand loyalty. Franchises have less risk compared to new business startups, which also means that the average person is more likely to be able to secure financial resources for a franchise as opposed to presenting a new business model to a lender or investor. 

There is also no required learning curve. When starting up a new business, you often have to be very well-versed in the industry and have the experience and expertise to guide the company while also working in it. Franchises do not require that you have any experience at all in the given industry you choose. You are handed all the knowledge you need before you even begin the process, which means that you can switch gears from your previous career and hit the ground running with a high likelihood of success.

For a new business startup, you can't wholly switch paths and start a new venture without becoming an expert. With a franchise, however, all the knowledge you need to run it successfully is given to you; all you have to do is follow the guide as outlined. You are almost guaranteed success without having any real hands-on training or education. It is an excellent way to find something you love to do without all the work of getting up to speed or attending extensive educational training.

In Business for Yourself, But Not by Yourself!

Often, when you begin a new business venture, you do so on your own, and it becomes an issue of making it or breaking it. A new business model, idea, or concept does not come with the guidance of those who have come before; it is a constant road of trial, error, and hard work. However, when you buy a franchise, you're buying the help and support of those who have already been there and done that. That means that you aren't reinventing the wheel; you are just picking up the playbook and putting it into motion. 

Real estate advice, construction plans, employee training, marketing, promotional tools, systems, and operations are already at your fingertips. That increases the probability that you will be successful; it reduces the risk that you won't. Buying a franchise also means that you can start making money from day one because you will be ready to go from when you say you're open. And people will be anticipating your new business because they already know who you are. They can depend on consistency and reliability. They recognize your product or service from the outset.

The Growth Scalability

Growth scalability is also a huge advantage of becoming a franchise owner. Multi-unit franchisees are a great way to continue building your wealth without restricting how much you can fit into one brick and mortar location or how many employees your location needs. When you own a franchise with high scalability, your potential for growth, expansion and profit margins are exponential and ever-widening. With a highly scalable franchise, the sky's the limit. 

With a scalable franchise, you also have very few expenses, including employee salaries, because most of the payroll is based on performance commission, which lowers your risk as a business owner. Unlike traditional business models where you have to pay people on a salaried or hourly basis, you only have to pay people who have already contributed directly to your profit margin with a scalable franchise. Being a business owner is further enhanced by knowing that you have less skin in the game, and you're increasing your potential for earnings with every new team member you take on.

How to Get Started Exploring Franchise Ownership - The Three Ds: Due Diligence, Deliberation, and Don't Go It Alone!

If you are ready to become a franchise owner and enjoy the benefits, the next step is to explore the available opportunities. If you head to the internet to see what is open, you will quickly be overwhelmed by the hundreds of thousands of choices. Although franchises have a higher likelihood of success than traditional startup businesses, that does not mean that they are all right for everyone or that everyone will be successful with every franchise. The Three Ds is the most crucial step to finding the right franchise for a satisfying and lucrative new venture.

Due Diligence

One of the best parts of buying a franchise is knowing what the future will probably look like. Franchises have to file a franchise disclosure document, which the Federal Trade Commission requires. This document is generated annually to explain in detail the terms for owning a specific franchise. It is critical to go through the FDD with a fine-toothed comb - or even better, to hire someone who understands the legalese and what it all means. 

You will want to pay close attention to things like startup costs and ongoing expenses and weigh them against the potential revenue that the business can generate. Also, consider how much support the franchisor will supply to you both initially and then as you grow. Things like employee training and operating systems help will be critical in getting things up and running quickly and working efficiently and effectively from the start. Finally, consider talking with both former and current franchise owners to get a feel for the daily operations and the real "boots on the ground" experience.

Deliberation

Next, think about other factors outside of the franchise itself. Consider personal factors like your personality style and what you would like to do versus what you don't want. You also have to take stock of how involved your family will be and how much support they are going to provide. 

Make a list of priorities, like what types of industries you think would provide personal satisfaction and improve your work/life balance. Ask the hard questions: do you want to work with customers and be the face of the company, or would you rather be behind the scenes? If you are going to buy a franchise, it will take a lot of your time and energy at the start to get it up and to run. How much time are you willing to sacrifice, and what can you live with and can't you if you have to?

Don't Go It Alone

One of the keys to being a successful business owner is learning how to delegate, whether in a traditional startup or a franchise. If you focus your energies on what you do best and let those who are well-versed handle the rest, you won't be spreading yourself too thin, making decisions without having all the information you need, or going outside your range of expertise. The first business decision you will face is finding the right franchise to buy, then taking all the proper steps to minimize risk and maximize wealth accumulation and work/life satisfaction. 

There is no need to dive headlong into figuring out the ins and outs of franchising opportunities, the legalities behind them, or sorting through the many steps you have to take and consider when there are franchise experts like Frannexus there to help. We have been through the process hundreds, if not thousands, of times and dealt with people from all walks of life who have different life circumstances, resources, and ideas about what their goals are going forward. The worst thing you can do is try to go it alone, especially when you don't have to!

Conclusion

When it comes to securing your financial future and building wealth, not just for the here and now but for generations to come, business ownership is truly one of the only ways to get ahead. Franchising is one of the least risky and most rewarding ways to find satisfaction in what you do while reaping all the benefits of freedom and security that come with being your boss. 

At Frannexus, we have all the tools and resources you need to make the most well-informed decision about which franchise has the highest likelihood for success and which one will be rewarding, scalable, and provide you with the rate of return you seek. The statistics are clear: a franchise has a higher likelihood of success than a traditional business startup. There is also a potential opportunity for anyone looking to secure their financial situation. Contact us today to get the process started, and let's find the perfect fit for your new and lucrative future!

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Currently, economic conditions are ripe for people to change paths and follow new pursuits. Over the past few years, we all learned that the status quo might not be what we all want to maintain. Many who were allowed to work remotely, gain more schedule flexibility, or enjoy more independence are unwilling to give it up and return to the old daily grind. 

That has many considering the prospect of becoming a small business owner. According to the latest statistics, small businesses currently dominate 99.9% of all companies operating in the US, and they employ over 47% of employees around the nation. Some major shifts will affect small business owners and their bottom line. When choosing which business will find the most success, there are many things to consider. 

 

Is Going-It-Alone Worth the Risk?

Although recent events certainly altered the face of small business survival, the latest figures do not veer very much from what they were in 2019. Currently, 67.6% of all new startup businesses have survived the two-year mark; when stretched out to five years, the percentage dropped to 48.9%, and only 33.5% of small companies celebrated their tenth anniversary. However, studies show that nearly 90% of all new franchises succeed. The statistics differ depending on the type of franchise and its industry. 

Launching a new business startup from the ground up is a much riskier proposition because it has never been done before. Unlike a franchise with a playbook for success, new small businesses come with a ton of trial and error - and often, more error than they can handle. The key to being successful as a small business owner is weighing factors such as personal strengths and weaknesses and external factors and economic conditions. For some, franchising is an excellent way to accumulate wealth, but only if they thoroughly investigate the many things that will make a business successful or lead to its downfall.

Who Should Invest in a Franchise vs. Go-It-Alone?

Most intuitively think that being a franchise owner is only for trailblazers looking to do something dynamic. Franchise ownership is something that people consider appropriate for type-A and classic entrepreneur-type individuals, and they are shocked to find out that it might be the opposite. In franchising, success is typically found in the slow and steady, more even-keeled type of personality that is not looking to buck the system or be super-innovative. Caution is not counterintuitive to franchise ownership success. These eight personality traits tend to go hand-in-hand with successful franchise ownership.

Personalities that are Results-Motivated

Running a successful franchise is not about working harder; it's more about working smarter. A franchise might be for you if you understand that acting does not necessarily mean meeting goals. Setting attainable and quantitative benchmark goals is the best road to successful franchise ownership. It requires someone who can continually pivot to find out what is working and what is not and then make the necessary alterations to get back on track.

 

The Big-Picture Type

The most successful franchise owners recognize that they may have to get their hands dirty and get to work until things pay off. If you understand that the fruits of your labor will take time to grow and ripen on the vine before being picked, you are more likely to find success.

The Motivational Speaker Type

You not only have a high sense of energy and enthusiasm; you recognize that it is your job to breathe that energy into those around you. You have a strong work ethic and expect it from those who work alongside you. People who can rally the troops are more likely to make big things happen.

The Optimistic Type

There is no half-empty in franchise ownership success. It takes a person who can find solutions and see opportunities where others see roadblocks. If you love a challenge, then franchise ownership might be for you. There is no room for wasting time rehashing what went wrong; you have to be able to put it behind you and move on!

The Likable Type

It is essential to know that you have fantastic communication skills as a business owner. Still, you have to take it one step further to see that customers and employees and their satisfaction are the keys to success. Business owners who seek to build relationships with those who work for them and those they work for will always enjoy more success.

The "Wear Your Seatbelt" Type

Becoming a business owner will always come with inherent risk, whether it is a startup or a franchise. Franchise owners who score lower on the scale of "risk-taker" and are more the "cautious" type tend to enjoy more success. Mitigating risk is critical to achieving the greatest amount of success. Taking chances is different than assuming risk, and knowing the difference has a huge impact.

The Perseverance in the Face of Adversity Type

For a successful franchise owner, failure is never an option. As an optimist, you don't just push through those things that keep others down; you take it to a whole new level of seeing opportunities and seizing them. No matter what gets thrown at you, the franchise owner who throws it right back and forges ahead with excitement will find the greatest amount of success.

The Calm, Cool, and Collected Type

Successful business owners don't lose their cool. One of the most critical personality traits for success is looking at a situation that might be incredibly anxiety-provoking and breaking it down calmly into something manageable. You can't operate in a state of panic, and in a crisis, the leader who will survive is the one who knows how to find the path out and force everyone into a single-file line.

Three Benefits of Investing in a Franchise Rather than Going It Alone

Going it alone versus opening a franchise both come with advantages and disadvantages. But franchises tend to enjoy three significant pros, whereas new startups have cons.

Switch Paths Without Expertise

In many cases, for a new business startup, the pathway to success rests in expertise and industry knowledge. For franchises, that isn't the case. Franchise owners rarely need to know much about the industry they're buying into. That means that there isn't a learning curve that you have to go through for success. You can start down an entirely new path by buying a franchise with no experience necessary. 

That is appealing to people who want to hit the ground running with a new business proposition outside of their wheelhouse, and it's a massive plus for those who are not enjoying satisfaction in their current careers. Often we get stuck in careers that we aren't thrilled with purely because switching gears would take too much time and energy. Those hurdles are eliminated when you buy into a franchise.

 

Assuming Lowered Risk

All business startups come with an inherent amount of risk, but a franchise's risks of failure are significantly lower than going it alone. Most lenders are reluctant to extend credit to new business owners precisely because of the risk involved. Franchises, however, do not have the same risks. When you buy into a franchise, you aren't starting from scratch, building a business model that may or may not work, and crossing your fingers. 

Franchises come with a playbook for success, and if you stick to the plan and execute it exactly as outlined, there is minimal risk involved. Your risk is even further reduced when you consider that branding, advertising, and marketing, which are the crux of a new business startup and what occupies the first several years to decades, are already done. You already have a customer base anticipating your goods or services when you open your doors!

 

Be the Boss

When you become a franchise owner, you are the master of your own fate. By choosing the right franchise, you enjoy more freedom and get to decide when and where you want to work. And you can enjoy a much more outstanding work/life balance; since support and training are generally supplied, all you have to do is follow the steps. Unlike a new business venture, you are in business for yourself, but that doesn't mean that you are going it alone. There are a ton of safety nets to take advantage of, which means that while you are the boss, it is challenging to fail if you follow the guide!

 

Tips for Exploring Franchise Opportunities

 

Now that you see all the advantages of franchise owners, here comes the hard part: figuring out which one to invest in. In 2020 alone, there were over 750,000 franchise opportunities to choose from - and counting! That is a staggering number to consider. While most people think the first best step is to hit the internet, looking within is the best place to begin.

 Check Yourself

Different franchises are going to speak differently to various personality styles. It is essential to take a good hard look inside and see what motivates you and makes you tick. Most people want to become business owners to enjoy increased work satisfaction, and that can't happen until you understand what you want and what makes you feel fulfilled and happy. Ask yourself questions such as:

The more things you can challenge yourself about, the better outline you will have to find the opportunity that will be successful and suit your needs and help you find the work/life balance and satisfaction that you are currently missing.

 

Speak With Current and Former Owners

The best way to get a realistic picture of the 'boots on the ground' operation is to do two things: go to a franchise and observe the daily operations and speak to both current and former owners to get a gauge about what they liked and what they did not. Most owners will be happy to meet with you and share their experiences. By talking with them, you can quickly see whether the franchise is something that tends to excite them and what their overall take on it is.

Get the Help of a Professional Service

When it comes to deciding to become a franchise owner, why go it alone when you don't have to? Sifting through the vast sea of opportunities can be overwhelming and take time. At Frannexus, we have the industry knowledge to help you narrow your search efficiently to focus on the most challenging part: the fine details. 

We help with every part of franchise ownership, from deciding which will best suit your needs to finding financing. There is no denying that the process can be complex, but we take the guesswork out of it and help you make the best-informed decision with the most optimal chances for success!

 

The Takeaway

As we head into a recovery period, some things might begin to return to normal while others never will. One issue that many workers around the nation are struggling with is returning to the daily grind. Now that we have gotten a taste of freedom from the workplace, we're not rushing back to the status quo. 

If you want to be your boss, switch paths, do something different, and start accumulating wealth for yourself instead of someone else, then a franchise is an excellent solution! At Frannexus, our mission is to find the right franchise opportunity to suit your personality and goals and start you down the road to a more lucrative and financially secure future. Contact us today to get the process started!


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Often, when people think about the potential of owning a franchise, they wrongly assume that franchise ownership is only for the wealthy. The truth is that nearly anyone with the desire to take a leap and start down the path to a lucrative future can find a franchise within their means. Yes, some franchises require huge net-worth figures and millions of dollars on hand, but others require less than $100k and can be financed, making them a choice for anyone with a vision. 

The reality is that anyone working for someone else is trading their hours to foster wealth accumulation for their employer. The only real way to build wealth for yourself is to own a business. But business ownership does not come without serious risk, both professionally and personally. However, the good news is that when you choose a franchise, you are buying into a proven business plan, a recognized brand, and everything you need to pick up the ball and run with it!

If you are ready to start down the path of being your boss, enjoying a better work/life balance, and securing your financial future, then consider these franchises. These are emerging franchise buy-ins that require less than $100k, have the potential to build a significant amount of capital for you and your family, and come with minimal risk.

Tutor Doctor

In the post-pandemic era, many students are not only struggling with socialization; many are also falling behind academically. The Tutor Doctor is an emerging franchise that is helping millions of students across the nation and globally by providing them with a better sense of accomplishment, self-esteem, and success. And it is affording many looking to start their own business unparalleled opportunity for growth while still satiating their desire for a work/life balance.

According to statistics, the global demand for online tutoring assistance will grow by 16% by 2027. The Tutor Doctor is the answer to a growing industry need. It is a low-investment franchise opportunity that requires an initial franchise fee of $44,700 - $49,700 and an estimated initial investment of $73-$100k for local and regional licenses. If you want to up the ante, you can choose the empire builder franchise model, which is $94k for the initial franchise fee and $134,995 to $160,695 for an initial investment range. 

Tutor Doctor offers an expanding international brand throughout North America, Latin America, and Europe. There are no brick and mortar costs to start this web-based franchise. It operates on a scalable business model, proprietary business technology, and tutor recruitment and matching framework. The franchisor aids with a coaching structure, local marketing, and specialist teams that foster long-term innovation. Above all, the Tutor Doctor comes with a 95% customer satisfaction rating and a brand recognition that is one of excellence.

Patrice & Associates

Patrice & Associates is a franchise that recruits for the hospitality industry and has been around since 1989. As we roll into the post-pandemic era, hospitality is one area experiencing explosive growth. The restaurants able to pivot to adjust to shutdowns and social distancing not only survived; they thrived. From carryout to delivery, restaurants that found solutions weathered the storm and are now being rewarded with record numbers of consumers looking to enjoy what they missed during the past two years. 

According to statistics, over a million restaurants survived the pandemic last year alone, and 81k new ones opened their doors. In addition, Canada's restaurant industry grew by 4.5% just last year alone and employed over 500k workers. 

Patrice & Associates is an executive search company that helps hotels, casinos, restaurants, university hospitals, cafeterias, and grocery stores with their employee needs. The advantages they hold for franchise owners are:

They also handle all of the collections and billing so that you can focus on growing your franchise. 

As a franchise owner, you don't have to hire employees, have a brick-and-mortar, require fast cash flow, or purchase equipment, and you get 90 days of training to ensure that you are on the right track. The advantage that the franchise provides is supplying you with clients from the first day you put out the "open for business" sign because they already have national contracts with fine and casual dining established business names such as TGI Friday's, Arby's, Great Wolf Lodge, and many others. 

Patrice & Associates also offers no territory restrictions and low upfront investment figures, and although you can choose a brick-and-mortar location, you can also recruit from home. Additionally, they handle all of the marketing costs and labor, all of which you benefit from as a business owner. With labor shortages on the rise, it is becoming incredibly hard to retain talent. The answer? Patrice & Associates. It is a recession-resilient business model that is not a fad and offers unlimited growth. 

Abrakadoodle 

Art classes continue to lose their placement in schools around the nation, making businesses such as Abrakadoodle a necessity. Abrakadoodle is a creativity franchise that brings mobile art to you. Whether visual arts, summer camps, or art parties, it is an onsite mobile art program designed to put art and creativity back into our children's lives. 

Abrakadoodle covers six countries, one million kids, 1,000 locations, 140 franchises and growing, and 1500 teachers. It also offers training and ongoing support. It is a low-cost franchise, a mobile-based home business that allows varied income streams, offering summer camps, event parties, adult programs, and classes year-round. 

The initial franchise fee is anywhere from $25,400 - $56,900, an initial investment of $38,088 - $81,938, a net worth of $100k, royalty fees of 8%, and a cash requirement $50k. It provides:

CarePatrol

CarePatrol is quickly becoming one of the fastest-growing and trusted senior-living placements in the nation, employing 150+ Certified Senior Advisors. Founded in 1993, CarePatrol's mission is to reduce the stress on families when finding a placement for their aging parents and loved ones. 

According to statistics, over one million seniors live in more than 30k communities in the nation, with projections that that number will double by the year 2030. The earning potential for those embarking on the CarePatrol franchise opportunity will be up to 142% more than competitors in the industry. 

It is a home-based business model without brick-and-mortar or real estate expenses. Senior care is a recession-resilient industry marked by exponential demands and growth, and CarePatrol might be your answer to financial security for the future.

Fibrenew

Fibrenew is a franchise that currently has over 290 franchise locations and employs over 330 technicians in North America and globally. They are dedicated to the restoration of vinyl, leather, and plastic. It is a mobile-based franchise, so there are no brick and mortar or real estate costs. The company is witnessing steady growth in various markets, including automotive, commercial, residential, aviation, medical, and marine. 

It is also forecast to experience considerable gains over the next decade, offering an eco-friendly alternative to replacement materials that would eventually find their way to landfills around the US and globally. 

The starting investment for a franchise is about $94k, with franchise fees of up to $47k. Other requirements are a net worth of $200k and liquid cash of more than $50k. The initial franchise fees total $47k, and ongoing fees are about $695+ per month. Fibrenew provides classroom training and only takes one person to run the mobile business. It is an excellent opportunity for someone looking to branch out on their own and accumulate wealth and a healthy financial future.

Most people mistakenly assume that they aren't wealthy enough to accumulate wealth by owning their own franchise. There are many opportunities available for under $100k in the franchise-owning industry. If you are ready to stop trading your hours for someone else's wealth, now is the perfect time to consider buying a franchise. Even for those with limited resources, the American dream of being a business owner is still real and alive. Contact Frannexus today to get started. 

I can't endorse Seth's expertise, coaching style, and authenticity enough. I know I made the right leap for myself and my family, and I credit Seth's ability to help me define my path. - Imran Rahman, Franchise Owner 

Let Frannexus Be Your Guide!

If you are considering investing in a franchise, don’t take the chance of choosing the wrong one and not achieving your goals. Learn from the experience of others in the franchise field, like a franchise coach, to have the greatest likelihood not just of succeeding but exceeding what you think is possible. At Frannexus, we have the expertise, knowledge, and experience to help you achieve your financial and personal goals. The right match is waiting for you, and Frannexus is the matchmaker to find your franchise soulmate.

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Things are seemingly returning to some sense of normalcy. Although the future and impending economy continue to be uncertain, it does appear that things are normalizing as people return to the business at hand. One movement that is hard to ignore exists in the labor force. 

The shutdowns and social distancing protocols changed many people's perspectives and outlooks on life, including attitudes about working to accumulate wealth for companies and employers. Many reject the notion that they should trade most of their time to earn a paycheck and consider other options, such as becoming a business owner through franchising. 

For those ready to take a leap of faith and start on a new venture, the question is whether they want to take one additional risk and try their hand with an emerging franchise or if going down the path of buying an established brand is better. If you are ready to begin accumulating wealth for yourself and branch out on your own, which one is for you?

Franchising - A Proven Business Model?

When most people think about being a franchise owner, they think of a well-established brand, a mega-brand like McDonald's or Dunkin' Donuts, but thinking of only the most prominent brands can price them out of the market. Although it might be a common thought that buying into a well-established franchise reduces the risk of failure, that is not the case. 

It is foreseeable that the old status quo of businesses might not adjust to people's new trends, thoughts, and desires as life pivots in the post-pandemic atmosphere. Many new and exciting franchise opportunities are finding their market share as we head deep into 2022 and beyond. They may offer just as much - if not more - in the potential for growth, satisfaction, and sustainability than established brands.

Pros and Cons of Investing in Emerging Franchise Brands

Both established and emerging franchises have pros and cons; the key is to find the less risky options while balancing sustainability and satisfaction. One significant advantage to buying an established franchise is consumer awareness. Although all franchises offer a proven business model, established ones have a history, leading to higher performance predictability. 

On the other hand, established brands also have the potential for outdated business models that have lost their luster and come with market saturation and consumer fatigue. Also, they often command a higher buy-in investment, which can outprice most investors.

The pros and cons of an emerging franchise are also varied. On the one hand, they typically come with an upward trend and the opportunity for rapid growth due to their excitement and "newness," which sometimes leads to a high degree of adaptability that you can't get with an established brand. Emerging franchises tend to have more "wiggle room" to adjust for consumer trend changes, which does not necessarily mean that the business model isn't strong or set in stone. 

It simply means that there is less tendency by consumers to hold fast to what they already know. The major drawback with an emerging franchise is often there are more responsibilities placed on the individual franchise units to extend the ever-growing brand awareness. 

So Which New Franchise Concept is for You? 

So which is for you - an emerging franchise or a traditional one? Before you decide, here are some of our emerging brands to look into. 

DRIPBaR

In a post-pandemic era, people have become increasingly aware of their health status and how important it is. The DRIPBar is a franchise targeting cellular health and overall quality of life and well-being. The type of cocktail offered at the DRIPBar combines cellular scientific nuances targeted to help people live healthier and more vibrant lives. 

Their niche market is not restricted to people dealing with chronic illness; it is for anyone who wants to increase their overall health. The DRIPBar offers vitamins and supplements via IV therapy, administered by professionals. Also, it is a semi-absentee franchise model, which allows business owners to pursue multiple streams of income and continue working in their current field or capacity.

The franchise fees are within range for the average investor. $55,000, with royalty fees of 7% and a startup cost of anywhere from $131 - $278k. To become an investor, you need liquid capital of $125k, a net worth of $300k, and a credit score over 700. 

Ellie Mental Health Services

In the aftermath of the isolation and lack of social support that many individuals felt during the pandemic, many are still dealing with residual feelings of depression, anxiety, and other mental health issues. Telehealth was one industry that took on a life of its own during COVID, offering many convenience and accessibility that they did not have before. 

Ellie Mental Health Services is one such telehealth forum. It is one of the fastest-growing mental health companies around the nation. It also offers in-person services, community service outreach, and psychiatric medication management to corner all mental health needs. 

The cash requirement to buy in is about $100k, with a minimum franchise fee of $60k. It is an absentee to semi-absentee franchise business model, allowing owners to have a hands-off approach and pursue other career paths. It also offers high support, including real estate procurement, financial aid, site build, marketing, recruitment, and training. Once established, they have brand development guidelines and shared service intake teams, so there is a lot of hand-holding to provide all the assistance you need for startup and success. 

CarePatrol

According to statistics, by the year 2050, more than 27 million seniors will require health and living assistance, putting a heavy burden on many families who are left to care for them. CarePatrol is a franchise dedicated to providing better options than what's currently available in the market, using technology and software for better placement and more informed choices. 

CarePatrol attempts to be the answer to assisted living placement concerns, independent living needs, nursing home choice confusion, and memory care for a growing number of seniors who are increasingly in need of help to overcome the hurdles of dementia and other memory issues.

It touts itself as a business with a purpose that requires a very low investment buy-in at $100k, a culture of compassion and empathy, a high degree of training and support, the benefit of quickly becoming the industry leader, and far greater earning potential than competitors. It is also an option for a flexibility-seeking audience as a home-based business model. 

As we return to similar conditions as a pre-pandemic world, the past three years have left their mark in many ways. One such perspective that has globally changed is attitudes about work/life balance. Those looking to stop the daily grind, enjoy more freedom and family time, and stop working to line the pockets of companies and business owners and instead start lining their own are looking for franchise opportunities. 

But is an emerging or well-established franchise right for you? With many pros and cons to consider, having a trusted professional like Frannexus in your corner can get you on the road to a successful and lucrative future filled with satisfaction and personal growth. Contact us today to get started!

I would highly recommend Seth to anyone looking to explore the universe of franchise options.Jay Weitzman, Franchise Owner 

Let Frannexus Be Your Guide!

If you are considering investing in a franchise, don’t take the chance of choosing the wrong one and not achieving your goals. Learn from the experience of others in the franchise field, like a franchise coach, to have the greatest likelihood not just of succeeding but exceeding what you think is possible. At Frannexus, we have the expertise, knowledge, and experience to help you achieve your financial and personal goals. The right match is waiting for you, and Frannexus is the matchmaker to find your franchise soulmate.

Read more. Why Should I Work with a Franchise Consultant?

Find out if franchise business ownership is for you.

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Have you hit the limit when it comes to expansion for your current franchise brand? There are only so many franchises that one territory can contain. Once a market hits saturation, you may think your only choice is to engage in fiercer competition or enter a new, unfamiliar market. But there is another option. All you must do is think strategically — and that means looking outside of your existing brands to keep your portfolio growing.

Bringing a new franchise to your mix, both brands benefit from the ability to share resources, marketing opportunities, foot traffic, and more. The potential to bend the economics of scale in your favor is great. But first, you will need to know how to find a new brand that offers synergies with your existing franchise.

The key is to study the specific characteristics of a franchise opportunity to determine which will be the right fit for your existing franchise portfolio.

1. A Synergistic Brand

2. Easy To Run

3. Brand Recognition

A Synergistic Brand

It is understandable if your first thought when considering adding a new franchise brand to your portfolio was to investigate a similar product or industry. But not so fast. Doing this could be counterproductive. After all, how does it help you to add a competing brand to your portfolio? The reality is you may not even have this option as many franchise agreements don't allow franchisees to open a similar concept. The better route to take is to find a franchise that can work with your existing brand and create synergies to benefit both.

For example, if you're an owner of several ice cream franchises and are looking to diversify your portfolio with a new brand, investing in another ice cream franchise may not be wise. So instead, think about opening a coffee shop franchise, for example. This could be an excellent opportunity to create synergy because ice cream is a summer treat, and coffee is year-round. This pairing is well-balanced and offers the potential to create a harmonious business relationship.

When it comes down to choosing a new franchise concept to pair with your existing franchise business, it is always a bright idea to pick a franchise that is different enough that you aren't poaching business from your existing franchise brand.

Easy To Run

Not all franchise businesses are easy to follow. You don't want a complicated system that will create problems when diversifying your portfolio. The goal is to have your new franchise brand run smoothly and simply alongside your other franchises. That's why, when searching, you want to focus on a franchise brand with simple operations.

Begin your effort by looking for a brand that has a simple model. Does the franchise have a lot of moving parts? If so, that might not be the best choice for you. The more moving parts, the more you will have to add to your plate on top of your existing franchise operation.

Some franchise brands still provide generous sales volumes while being relatively easy to operate with low costs and low occupancy. A franchise that can work efficiently, with easy-to-use systems in place, will allow you the opportunity to reduce overhead costs like labor and energy. That savings can then be turned to other resources, helping you focus on different business aspects instead of constantly being tied up in operations. You want your franchise to run successfully without you having to be there day in and day out. That is the true mark of a franchise with simple operations to add as a secondary brand to your franchise portfolio.

Brand Recognition

Finally, when considering a new franchise brand to grow your business, you must look for a brand with an established presence and awareness. If a brand comes with widespread appeal among the general population, it's much more likely to generate media attention.

For instance, industry recognition for a franchise brand — like being named to national rankings lists or receiving awards — ensures legitimate franchise opportunities. Plus, receiving this type of recognition indicates that the brand has growth potential, attracting even more positive press. That, in turn, will help drive traffic and profits to your location with less effort and resources on your part.

There is no doubt that marketing and advertising will consume a significant portion of your annual budget, particularly when it comes to a new franchise location. But when the brand already has widespread awareness thanks to the franchisor's efforts, the amount you must spend on marketing will be reduced. A brand's ability to land significant press coverage demonstrates to potential investors that the opportunity is a good bet as an investment.

Why Now is the Right Time to Expand Your Portfolio

Despite all the ups and downs in recent years, the franchise industry thrives. There may not be a better time than now to consider diversifying your portfolio with a new franchise concept. Consumer spending is expected to increase as the world emerges from the pandemic. The future for franchising looks remarkable.

It has been projected that 26,000-plus franchise locations opened in 2021, adding nearly 800,000 new jobs and contributing $477 billion to the U.S. gross domestic product (GDP), according to the International Franchise Association (IFA). Now is a great time to get in with a new brand.

Even with this positive news, it is still vital that you be strategic when diversifying your portfolio with a new franchise brand. Look for a brand that won't compete with your existing franchises in a niche market that has room to grow. The new brand should also have simple operations. It is helpful if its culture melds well with your existing franchises. By studying these five components of a franchise brand, you will find you are better equipped to bring a new brand on board that will diversify your portfolio and allows all your franchises to flourish.

After meeting and working with Seth and the Frannexus team to vet and select a franchise concept, I'm so grateful that they were our guide throughout the journey. -Jennifer Robinson, Franchise Owner 

Let Frannexus Be Your Guide!

If you are considering investing in a franchise, don’t take the chance of choosing the wrong one and not achieving your goals. Learn from the experience of others in the franchise field, like a franchise coach, to have the greatest likelihood not just of succeeding but exceeding what you think is possible. At Frannexus, we have the expertise, knowledge, and experience to help you achieve your financial and personal goals. The right match is waiting for you, and Frannexus is the matchmaker to find your franchise soulmate.

Read more. Why Should I Work with a Franchise Consultant?

Find out if franchise business ownership is for you.

Start the survey.

Have you dreamed of being your own boss, running your own business, and achieving long-term financial stability? Then you may have considered the possibility of owning a franchise, but maybe you never really investigated it because you assumed franchises were too expensive for your budget. Indeed, many of the most well-known franchises, particularly fast-food ones such as McDonald’s or Subway, may be out of reach for many thanks to price tags that can reach into the millions, but that doesn’t mean there aren’t other options that are more in line with your budget.

The reality is there are more franchise opportunities than ever, and thanks to new technologies and inventive franchise concepts, many of these businesses are pretty affordable.

Low-cost franchises are available in multiple industries, from vending and photography to staffing and travel. Some may require less than $20,000 in ready cash to get up and running; others may fall between $20,000 to $100,000. The reality is you have options. You may even be surprised at the variety of opportunities that fit a smaller budget.

This Franchise Buyers’ Guide is meant to help you discover what affordable franchise opportunities are out there for you. It will help you learn of the benefits of a less expensive franchise, as well as potential challenges and issues to consider as you search for the best franchise for you. No matter how big or small a franchise you are considering, it is vital that you do all the necessary research before making an informed decision.

That means reading all the company documents you are given. Share these materials with your lawyers, accountants, and trusted family and friends to get their insights. And always reach out to other franchisees. Doing the proper due diligence can help to ensure that your low-cost franchise provides you with significant returns.

Seth introduced us to our target company as pre-qualified applicants! -Alex Liu, Franchise Owner 

Lower costs don’t limit your choices.

For too long, too many people have operated under the assumption that the more money they spend on a franchise, the more money it will make them. Certainly, large franchise operations earn a lot, but they also carry significant overhead. So, the top-line revenue may be impressive for a large, well-known brand name franchise, but the bottom-line profits may be less so.  

What’s more important to consider then? Value. Think about how much weight you place on a smaller financial outlay for a low-cost franchise — from the lowered risk to the reduced demands on your time, energy, and family life. And don’t forget, a more economical franchise offers lower overhead, meaning much more of the money you make translates directly to profit.


Vending

One of the more affordable and convenient franchise options is vending machines. Today just about anything you want can be dispensed from a vending machine, from the traditional beverages and snacks to personal hygiene items and DVDs. Vending machines in the U.S. were estimated to earn $36.5 billion in 2020. Not only are vending machines profitable, but purchasing one is quite affordable, with some priced under $20,000.  

Vending machines can be a great way to start as a franchisee. But it would help if you remember certain things. For instance, location is essential for any business. It is simply crucial for vending machines. If your machine is not placed well, you will not achieve the revenue you want or need. Also, to be successful with a vending machine requires staying on top of reloading stock and what consumers want. 

Successful vending entrepreneurs continually monitor sales, test new products, and stay on the lookout for recent profitable locations. While it might be tempting to consider a vending franchise as one that you can “set it and forget it,” the growth-minded franchisee is always alert and attentive to their customers and their machines. 

Kiosks and Carts

Ever passed by a kiosk in a mall or airport concourse and wondered about the people running it? They are most likely entrepreneurs like you, but with a particular personality. It takes stamina and an out-going personality to turn this low-cost franchise concept into a thriving reflection of your entrepreneurial drive. You must be willing to put on a bit of a show — from making eye contact with passersby to engaging them in conversation to attract them into buying. Of course, smiling and maybe even offering up a little sample of the merchandise or inviting them to examine your products doesn’t hurt either.

Whether you opt for a cart or a kiosk — kiosks are larger, enclosed, and give you a place to sit — both concepts need a great location. Whether you sell popcorn, snacks, sandwiches, sunglasses, gifts, or something else, you must be where the customers are. Kiosks and carts are typically found in high-traffic areas, but should the need arise, the great thing about this type of franchise is its mobility. If you need to move to follow the crowds, pack up your cart and find them. 

Home-Based

We’ve all spent more time in our homes of late, but the great thing about that is more and more people realize that their home can also be their place of work. And that is where a home-based franchise fits in nicely. There are a lot of home-based opportunities available — tutoring, business consulting, cleaning services, pet care, repair services, in-home senior care, internet-focused and more. It won’t be hard to find a business that fits your skillset and background. 

One challenge that does come with a home-based franchise is discipline. Because you don’t have a commute and won’t have set hours when the doors will have to be open for customers, you will have to create a routine and stick to it. While it can be tempting to sleep late, lounge in front of the TV, and take days off, if you opt for a home-based franchise, you must learn to manage your time and stay focused if you are to be successful. 

However, not all home-based businesses keep you indoors all day. Sure, you may not have an office or retail space to visit, but if your franchise is lawn maintenance or car detailing franchise, for instance, you may still need to reach out to service customers and prospects for the business.

Learn the many benefits of a low-cost franchise.

Those with less money to invest are perhaps the most apparent entrepreneurs to benefit from a low-cost franchise. But they aren’t the only investors who can or should seize on what an affordable franchise can offer.

For instance, anyone lacking in business experience will find that an inexpensive franchise provides them with an excellent opportunity to learn the ins and outs of the business world. Another group that may find this type of franchise the ideal way to dip their toe into business is the risk-averse. Finally, because low-cost franchises require a reduced financial commitment, they appeal to a much broader group of people — young adults, minorities, single parents, retired people — anyone with the entrepreneurial spirit but who lacks access to many of the resources more established businesspeople can access.

Even though the financial cost with an affordable franchise is less, the benefits of owning a franchise remain significant. Unlike starting a business on your own, buying into a franchise system provides you with valuable support, from training to marketing to providing necessary supplies — all of which significantly reduce your responsibilities as a franchisee while improving your odds of success.

Even with these multiple benefits, success for any franchisee is never guaranteed. However, because a low-cost franchise comes with lower risks and overhead, it is not uncommon for a franchise to experience profits faster than they might with a more expensive franchise. A larger, more expensive franchise operation may encounter challenges, such as cash flow issues or the need for substantial operating capital, which are not issues for a more affordable franchise option.

Finally, because an affordable franchise comes with fewer moving parts, it can be easier to manage, making it attractive for entrepreneurs who don’t want to sacrifice work/life balance.

But that doesn’t mean that this franchise investment is without risks.

An affordable franchise offers a reduced potential for return. Yes, the margins may be as good or better than another more extensive and more costly franchise, but those margins are coming from a much smaller till thanks to less traffic and less potential to generate revenue.

There can also be an issue with brand awareness. A larger, more well-known franchise benefits from connecting to a distinguished brand name. A small franchise, in many cases, is relatively unknown. Not having a retail storefront may also hinder you in building brand awareness in your community. This all translates to additional work you will have to do to gain a reputation and earn customer loyalty. 

Another drawback of a low-cost franchise is the competition. Because they are accessible to more people, more people are interested. That is why it’s essential to thoroughly examine your business’s intended market when investigating potential franchises. Is it already being served by a similar business? Is there growth potential? Researching the company behind the franchise, but so is understanding the competitive landscape you face.

Finally, remember some advantages to high-cost franchises despite the additional demands they place on owners. An important one is buying power. More extensive franchises can purchase supplies, products, and materials at more favorable prices thanks to their scale. If your affordable franchise is directly competing with a more prominent franchise, it may be harder to compete on price. 

As mentioned earlier, self-motivation is essential with a low-cost franchise. With no storefront, no publicized hours of operation, and no staff of employees depending on your presence and engagement, you must stay focused to succeed. 

How to pick the right budget-friendly franchise for you?

It makes sense to consider a franchise based on your interest. After all, you want to be enthusiastic about your business, and enjoying what you do is likely to keep you dedicated and devoted. However, some people mistake focusing only on what they are passionate about. When emotion overrides reason, you could end up investing in a franchise concept that isn’t the best choice for your long-term success. You may love golf but being tied to a mall kiosk all day that sells golf equipment doesn’t feed that love of the game, and it is very likely to lead to failure.

Research Performance

Give your dream of owning your own business its best shot at success by researching the growth rate of your business. Review its history, whether it’s a few years or decades. Be sure you have a clear understanding of how the franchise has performed. If an idea is untested and unproven, you may not want to take that risk.

Due Diligence

The more due diligence you do, the greater your odds for success. Pay particular attention to item 21 detailing the franchise’s financials in the Franchise Disclosure Document. A solid and healthy company will generally derive a greater percentage of its income from royalties instead of franchise fees. Item 20 is also revealing. Pay attention to the number of units opened in the past three years, how many have closed and if those were taken over by corporate. Be detailed with your research. Reach out to both franchisees and the franchisor for answers to your questions.  

Scrutiny

Take your research seriously. Before you sign on, you need to know the following: what the prospective yield of the franchise is, its growth rate, the history of the business, and the market potential for your region. Now is not the time to be emotional. Every aspect of the franchise opportunity needs to be viewed with dispassionate scrutiny. Only after doing in-depth research can you be confident that a low-cost franchise is right for you. 

How can you be sure that you are finding a franchise that is the perfect fit? Start with a list. Write down all your interests and skills on one side, with all the low-cost franchise opportunities that seem relevant to those areas on the other. This is not about evaluating the options. You are simply making lists to help you eliminate opportunities based on your interests and skills.

If some of your opportunities are home-based, you will want to check the regulations in your area to determine whether a home-based option is feasible for you. If your home doesn’t meet regulations for any reason, you will need to move on from those options. 

Next, look at the financial investment involved. Those franchises can be crossed off if an option is clearly outside your budget. There are finance options available which we will discuss later in this guide. But even with financing, you should have a budget in mind that you are comfortable with and need to stay within. 

Finally, consider the product or service. Does it have a history of customer interest that proves it’s not a fad? Think about the franchisor. What is its reputation? If any options are listed that throw up red flags, they can be eliminated. 

Take a fresh look at your list. With what remains, ask yourself honestly if you have the skills and resources necessary to succeed at the franchise opportunities that are still listed. When you talk to the franchisor and other franchisees about the skills needed, can you honestly say you possess those skills? If you don’t, no amount of passion or interest is likely to help you succeed. Indeed, you can learn certain skills, but that demands a learning curve. How will that time impact you financially?  

Now you should have reduced your list to a handful of opportunities, each a potentially perfect fit for your interests, skills, and budget. Next, consider how each fits in your market. Will you have competitors? Will your product or service stand apart from them?  

So long as you have been honest in creating your list, it should contain only those franchise opportunities with the greatest potential for success. The final decision will hinge on a few factors: Do you like the franchisor? In general, it’s a good idea to get along with someone you are going into business with. Any personality clashes or severe differences of opinion during your discussions should be warning signs to look elsewhere.

Finally, how has the franchise you’re interested in performed historically? The Franchise Disclosure Document sent to you by the franchisor will give you this information. Current franchisees can be another source. Talk to as many as you can — especially any operating in markets like yours. This will give you an honest assessment of what you can expect before investing your money.

Details of your investment.

A significant advantage of an affordable franchise is it requires no real estate. Removing that component allows for a much lower cost of entry. But you will still have start-up costs and ongoing fees, which can vary greatly from one franchise to the next. Make sure you have a clear picture of all that is expected of you financially. 

You need to know the initial costs and what you’re responsible for each month. Pay close attention to the information contained in the Franchise Disclosure Document. If you have questions, don’t hesitate to talk to the franchisor to clarify any figures you don’t understand. And again, fellow franchisees can be an excellent resource for firsthand accounts. 

To compare one opportunity to another, focus on two numbers:

Initial Fees

Called a “franchise fee,” this is what you pay when you buy into a franchise. This is the cost of entering the franchise system. Generally, you pay a flat rate to the franchisor when you sign a franchise agreement.

Ongoing Fees

Recurring and occasional fees, including royalties, are required by almost all franchisors in return for their continuing support. Usually, royalty fees are a percentage of sales. Some companies may charge a flat fee weekly, monthly or yearly basis. 

For those not in a position to self-finance the purchase of their low-cost franchise, financing options do exist. Some people may even access financial support from a family member or borrow from their own 401(k) accounts, which is permitted for business start-ups. This includes traditional bank loans — if you have good credit and collateral — although it’s usually wise to investigate a Small Business Administration (SBA) loan, which can offer better terms. But start with the franchisor. They may offer financing at even more attractive terms than any other source. Options exist to finance your dream; all it takes is some research to determine the best choice for you.

Franchise Buyers' Checklist

Investing in a franchise, even a low-cost franchise, is still a significant expenditure that requires thorough due diligence. When you are serious about finding the right franchise for you, low-cost or otherwise, doing your homework is essential. It’s also the best way to ensure you maximize your success odds.

This checklist will help keep you on track.

Next steps.

For those who dream of owning their own business, investing in an affordable franchise represents the chance to control your destiny and financial future. Entrepreneurial dreams aren’t only for those with deep pockets or lots of business experience. Thanks to low-cost franchise options, there’s a world of possibilities for all manner of people to explore so they can realize their business ownership dreams. It’s just a matter of researching to find the best opportunity for you. Take the next step and start exploring! 

Let Frannexus Be Your Guide!

If you are considering investing in a franchise, don’t take the chance of choosing the wrong one and not achieving your goals. Learn from the experience of others in the franchise field, like a franchise coach, to have the greatest likelihood not just of succeeding but exceeding what you think is possible. At Frannexus, we have the expertise, knowledge, and experience to help you achieve your financial and personal goals. The right match is waiting for you, and Frannexus is the matchmaker to find your franchise soulmate.

Read more. Why Should I Work with a Franchise Consultant?

Find out if franchise business ownership is for you.

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While it may feel like the pandemic has stopped so much in our lives, it doesn’t appear to have slowed down the growth of new businesses. According to the U.S. Census Bureau, about 50% more new businesses started in the U.S. in 2021 than in any year in history. The pandemic has spurred the entrepreneurial-minded, meaning growth for many new and existing franchise brands is on an upswing.   

But that doesn’t mean that all franchises will be equally successful. One thing that the pandemic made clear, and which continues to hold sway, is that franchises that could lean into the call for things like delivery food service, boutique fitness, and service franchise offerings have experienced much greater success over the past several years.

Any economic damage that franchises may have incurred due to COVID-19 is anticipated to have been erased thanks to the projected 26,000-plus franchise locations that opened in 2021, which added nearly 800,000 new jobs and contributed $477 billion to the U.S. gross domestic product (GDP).

The International Franchise Association (IFA) expected franchising’s overall contribution to the economy to have grown by 7% in 2021, which would return it to pre-pandemic levels of economic output.

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If Americans love one thing, it's food! Lining the streets of rural and small-town America and the hustle and bustle of big cities, restaurants of all varieties provide everything from Italian fare to Tex-Mex. From fast food to fine dining, the choices are endless. It is no surprise that this year it is projected that Americans will spend as much as $771 billion on food, which is up from 2021, where revenue topped $600 billion. 

Due to the American love of all things cuisine, the restaurant sector not only survived the pandemic; those that pivoted to adapt to new circumstances were able to thrive. And in a post-pandemic recovery, forecasts are that there will be no end to the growth that the restaurant industry can experience in the next few years and beyond.

Restaurant franchises are more abundant than any other type of franchise in the American market. In 2021, a record 204,555 quick-food restaurants were in existence, up 1.3% from the year before. Additionally, 149,333 full-service restaurants are currently in operation. Franchises are the majority in the restaurant industry, mainly due to consumers' desire for consistency in products and services.

In the face of the COVID pandemic, fast or quick-food restaurants experienced modest growth, yes, but when other industries were trying to survive, fast food was still turning a profit. The quick-service restaurant category includes establishments that offer limited-service eateries, fast food restaurants, carry-out, and restaurants and other outlets that serve convenience meals that don't require long wait times and offer only limited service to customers.

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Overview

As we head into a post-pandemic economy, tensions about social distancing are starting to ease. Whether it will be a thing of the past or develop some hybrid of how it used to be combined with social space awareness remains to be seen. One industry hit hard by the pandemic is the food and hospitality sector. Some restaurants were forced to close their doors, while those who pivoted to alter their offerings and processes could stay afloat. Some even thrived in a new age of entertainment and dining.

Statistics about Restaurant Franchise Outlooks

According to leading forecasters, 2022 will be marked with numerous economic challenges, including the restaurant industry. Issues such as supply chain difficulties, frequent COVID infections still taking people from work, and the overall labor shortage and "Great Resignation" are all taking their toll on society as a whole and are being felt in the hospitality industry. 

There are also concerns that the shortage of available goods will drive inflation, leading to a downturn in the economy, and will likely plague the U.S. at least through 2023. In turn, inflation will make grain and beef products cost approximately 60% more than last year. The consumer will eventually absorb those increased costs, which will likely cut back and choose to prepare meals at home.

For restaurants to remain profitable, they must find new menu offerings with fewer choices and higher prices. Currently, consumer prices are already up an estimated 4%, which is an increase that we have not witnessed in nearly a decade.

The good news is that although costs are climbing, consumers are so happy to return to engagement with the outside world that they are willing to shoulder the increased costs. Despite the new COVID variant issues and other economic uncertainties that plague the U.S. and the world, consumer spending is beginning to rebound. 

The biggest hurdle at the moment is the labor shortage. Some workers laid off during the pandemic enjoy the Pandemic Unemployment Assistance that allows them to stay comfortably at home without returning to work. Many restaurants have offered incentive programs like higher pay and more considerable perks to get workers to return. However, those costs will eventually come down the pipeline and fall on the consumer. Labor costs currently are at a 20-year high. Combining that with the inflation rate equals higher menu costs, and how consumers respond is uncertain. 

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As we head into 2022, we collectively look forward to a time when the pandemic is in full recovery, and we no longer have to mask up and keep our distance. We will certainly never forget the events over the past two years, including the effects that COVID had on us - personally, professionally, and economically. One trend that is just now catching up to us is the Great Resignation. According to the Bureau of Labor Statistics, in November 2021, nearly four million employees quit their jobs, which is the highest recorded "quits" in American history. The new high topples the previous record of 3.5 million in 2019. That begs the question, what is behind this mass workers' exodus?

What is Driving the Great Resignation?

No single factor is likely driving the Great Resignation, and the dissatisfaction that workers feel in their position probably started long before the pandemic hit. According to a Microsoft survey of 30,000 people, 41% considered either changing career paths or quitting altogether over the next six months, which means that the number of people calling it quits will grow as we head into 2022. 

When industries were forced to shut down, and people were sent home, they had time to consider other avenues to explore, like being a stay-at-home parent or finally realizing their dream of being a business owner. Being at home and being able to make do has many considering the prospect of finding another way to "make do" instead of just carrying on in their current position. 

Burnout

When questioned why people resigned from their careers, the top response was that they were burned out, particularly in the foodservice/hospitality industry (54%) and the medical field (52%). Burnout is so prominent that the World Health Organization termed the rash of resignations an "occupational phenomenon" of relentless long-term stress. Common symptoms described included:

Burnout can severely affect an employee's loyalty and commitment to their employer. And just one unhappy worker can tank the morale of an entire organization. Lastly, it can often have a domino effect when one person decides to hop ship.

Wanting to Work Remotely

Before COVID, not many people had had the opportunity to work remotely. Remote working, or a hybrid model, was already becoming a popular choice before industries were forced to shut down and send everyone home. The conditions of the pandemic only added fuel to the fire of remote-desirability. A whopping 40% of all workers changing positions indicated they did so to take advantage of working remotely. They believe that it provides a better work/life balance.

Being Mistreated

Workers also expressed that their decision to resign was partly due to being treated poorly by their employer. During the pandemic, companies with a favorable working culture treated their employees kindly. In contrast, those who did not have a healthy culture beforehand continued to create animosity by not caring for their employees. They focused on making changes to protect their organization instead of their workers and engaged in layoffs and other actions unfavorable to employees.

Poor Compensation

Many Americans felt the pinch of the rising cost of living and already being dissatisfied and unhappy, which only gave them more reason to look for better-paying opportunities. It is especially the case in the hospitality and foodservice industries, where workers reported that their top reason for switching positions was higher pay.

What's Next?

Most forecasters believe that the Great Resignation will likely last into 2023. Many of those leaving their positions will be considering a career transition, business start-ups, and other ventures. Many workers are finding that simply getting a new job is not solving their desire for change and a better work/life balance. 

They are looking for a fundamental change in the way they live, the amount of time they spend at work, and the place that employment has in their lives. Once workers turned a blind eye to their dissatisfaction at work because they believed they had no other options, the pandemic made us all feel vulnerable, and perspectives changed about life goals and what is important. 

With incomes becoming stagnant, job security becoming obsolete, and the costs of living and education continuing to rise, the allure of the nine-to-five grind does not make sense for many, especially in Generation Z and Millennials. They are already shifting to find a career more aligned with their passions.

Start by Asking Why You Want to Change Jobs

The key to figuring out your next move is to start by asking yourself why you are so unhappy. Employees who lack satisfaction in their position due to conditions like being underpaid, limited growth opportunities, a lack of meaning in what they do, poor management, and no work/life balance are quickly realizing that they want more than a paycheck. 

The Alternative to the 9-5 Grind: Franchise Business Ownership

For many, starting a new business is scary, and they are not wrong. New business start-ups have a high failure rate, especially in some industries. Franchising offers an alternative to the traditional new business start-up. A franchise has a proven track record of success and a road map to get there. Not only does it come with less risk, but it also comes with the groundwork done of marketing and building a brand. 

Franchises are not only more likely to make it through any economic condition; they come with support, guidance, and a playbook to follow. If you are ready to be one of the many million workers calling it quits to start down another path, then franchising is an excellent way to accumulate wealth, become your own boss, and find a more conducive work/life balance in your life. At Frannexus, we can help you find a new career path that will not only help you find the satisfaction you crave; it will give you the freedom to call the shots and be happier all around. Contact us today to begin finding your new lease on life!

Start exploring franchise ownership!

Address: 3400 N US 75-Central Expy 1000 Ste #110, Richardson, TX 75080
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