The generation that grew up with national brands is still more comfortable with a well-known name than with a small, independent company of uncertain quality.
Around the country or around the world, a familiar name and logo is a guarantee of the quality and familiarity they’ve come to expect.
When you choose a restaurant as your new business, you can take full advantage of that familiarity to give your new business a leg up on the competition.
How do you choose the best one? Says an industry insider, there are some wonderful advantages to having a food business.
The trick is in evaluating the opportunity from a business point of view, and choosing one that meets your criteria. Why choose a restaurant franchise rather than another type of start-up?
The major advantages of a food franchise are:
Instant recognition - When you decide to take advantage of a restaurant option, you’re buying into one of the most important things that any business can ‘own’. Financing experts call it ‘good will’, though others use the terms ‘name recognition’.
No matter what you call it, when you open a new unit, you’re already starting out with a reputation in the business.
Built-in demand - Buying into a one gives you the advantage of filling an already established demand.
By choosing one that’s proved its popularity and staying power, you join a successful team rather than having to pave your own way through a crowded field.
People already know what to expect from your new business – you don’t have to spend thousands and thousands of pounds telling them.
Easier financing - Face it – lending institutions are in the business of earning a return on their money. Banks know as well as anyone that franchise restaurants are nearly 10 times as likely to succeed as their independent counterparts.
You’ll find it far easier to find financial backing for a franchise than a start-up in a field where 90% of new independents fail in their first two years.
Open track record - When you choose to buy into this option, you’ve got a lot of history on which to judge. By studying the track record of other restaurants in your chosen franchise network, you can take advantage of their success – and avoid their mistakes.
Are you considering this opportunity, but not certain if you have the skills and abilities to make it work for you?
There’s one way to make sure, say industry insiders. Before you take the plunge, try it on for size. Put in a few weeks shadowing a successful owner of a franchise in the same chain – walking with him step by step through normal working days.
By putting in the time up front to be sure that a restaurant franchise is one that makes the best use of all your skills, you’ll find yourself well on the way to success in business ownership.
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