What makes a franchise opportunity easy?

Without a doubt, you have seen and perhaps even visited a variety of franchise locations for various
companies. Despite being a completely different store in a distinct part of the city, they let
customers access the same products and services that the parent company guarantees, which
strengthens the bridge between the two sides.
Starex, having its own franchise options, brings to its supporters a simple guide to understanding
the system of franchising and explains why franchising is not as difficult as the stigmatized term it
seems to be.
No matter which business sector, franchising exists as an open option there. Be it a clothing
franchise, juice bar franchise, medical franchise, dry cleaning franchise, or even an atm franchise.
It also made its appearance in the realm of the internet with online franchise business opportunities.
The franchise directory is an endless well of possibilities and opportunities for all!
For the three parties involved—the parent brand, the franchise partner, and the customer—
franchising is a successful business strategy that offers a triple win for all three parties.
Though franchising is considered a good profitable opportunity, people often back away from
opting for it, seeing it as a hassle to set up and follow through the legal and monetary processes
and start-up costs to buy a franchise.
Understanding the Franchise business model
A “license” is an exclusive key component of a franchise business model. With the help of this
franchise license, the franchisee (partner) will be able to operate and manage a business selling the
franchisor’s goods and services while also gaining access to the franchisor’s (parent brand)
proprietary trademarks. This license comes at an initial price for start-up and an additional
annual franchise fee.
The term “franchising” typically refers to the process of developing and distributing a brand and
franchise system.
It is a rather flexible method for entrepreneurs looking for excellent business opportunities.
The franchise business plan comes in various types with respect to the limit of trademark use,
support from franchisors, expenses involved, etc.
Types of Franchises:
• Job-Franchise – This is a choice for those searching for low-cost franchises who wish to
launch and manage a small franchise business independently. Franchisee often has to invest
in a small amount of stock, equipment, and perhaps a vehicle. This category includes a wide
variety of services, including travel agencies, coffee carts, domestic lawn care services,
plumbing, drain cleaning, commercial and residential cleaning, cell phone accessories and
repairs, real estate services, shipping services, pool maintenance, event planning for
businesses, childcare services, etc.
• Product Franchise-Product franchises are franchise options that focus entirely on the
parent brand’s product. These are built on supplier-dealer agreements, in which the
franchisee distributes the franchisor’s products. The franchisor licenses its trademark but
does not normally offer franchisees a whole business structure. This model of franchising
accounts for the greatest proportion of overall retail sales.
• Business format Franchise-This type of franchise contract structure allows the franchisee
to utilize the franchisor’s trademark, but more crucially, it allows the entire system to
manage the business and advertise the product and/or service. The franchisor provides a
precise strategy and procedures for practically every area of the business, as well as initial
and continuing training and assistance. Business format is the most common franchise
system and is most often mentioned when discussing franchising. Fast food, retail,
restaurant, business services, fitness, and other industries are among the most popular.
• Investment Franchise-When choosing this form of franchise, the franchisees often spend
money and hire either their own management team or the franchisor to run the firm and
generate a return on their investment and financial gain upon exit. These are frequently
large-scale initiatives that demand considerable financial outlays, such as hotels and larger
restaurants.
• Conversion Franchise-An alteration to typical franchise arrangements is conversion
franchising. The franchisor under this model has the potential for very rapid expansion in
terms of units and royalty fee income. Real estate agents, florists, businesses that provide
professional services, and home service providers, including plumbers, electricians, and air
conditioners, are a few examples of sectors that frequently employ conversion franchising.
Despite the pure business jargon that makes franchising look like a complicated deal, it is not so in
reality.
In the end, it all comes down to the understanding between the two parties.
The most profitable franchises are the ones where both parties achieve their success rates and keep
them running.
Franchise organizations give rise to new entrepreneurs and established ones at the equal stage to
rise to their potential. The low -risk of putting up a franchise store makes this a straightforward path
to success, as the brand already stands on a well-recognized platform.
It makes sense that the law takes priority when it comes to owning a franchise. However, while the
legality is undoubtedly significant, it is not the most crucial concept to learn about franchising.
Fundamentally, franchising is about the brand value of the franchisor, how the franchisor supports
its franchisees, how the franchisee fulfills its duties to deliver the goods and services in accordance
with the system’s brand standards, and most importantly, franchising is about the relationship the
franchisor has with its franchisees.
The best franchises to buy are the ones that build a strong connection with the new franchisee
partner coming onto the board.
For example, take a look at the benefits Starex provides to its partners to analyze the strength of the
franchise opportunity.
Starex offers its franchisors with:
• Proven Track Record
• Strong Brand Awareness
• Simplicity of operations
• Product Diversity and Growth.
• Support for a quick start and fast scale up
• Marketing and Initial Training Support
In the current world, where knowledge is available at the tip of your fingers, it is no longer a tedious
task to conclude which franchise company will make one of the best franchises to own.
Additionally to this, it is the back support the parent brand offers that makes franchising easier than
you anticipate it to be.
To attain this ease, when starting a franchise, it is important that you don’t seek cheap franchises to
buy but be on the lookout for top franchises that offer a franchise agreement that supports you
throughout.
You need a franchise where you can grow along with the brand instead of one where you are stuck
in a loop to just provide to the parent brand.