Franchise

Franchise

Franchising is a business opportunity that's somewhere between buying an existing business and launching a startup in terms of creativity, independence and risk. A franchisee buys a license from a franchisor to be a dealer of that business model. The owner of the franchise sells a product or service through its franchisees.

In exchange for an initial set-up fee and a monthly payment, the franchisor provides the franchisee a business model, marketing supplies, staff-training assistance, managerial consulting and a pre-existing supply chain. Also, the franchisee benefits from the franchisor's economies of scale, receiving access to prices that a business owner may not otherwise get running a single shop.

There is, in theory, less risk to buying a franchise business than starting a business from scratch because the business model has been tested. Also, as a franchise unit owner, you have a built-in advisory board in the management staff of the umbrella franchise organization. On the downside, you have less creative control over your business as a franchisee than as an independent business owner.

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News and Articles About Franchise

Why This Startup Co-Founder Became a Franchisee
Franchise Players

Why This Startup Co-Founder Became a Franchisee

One would think raising three kids and acting as CMO for a tech startup would be enough of a challenge, but Riza Ayson wanted more.
Kate Taylor
How I Opened a Franchise With My Future Father-in-Law
Franchise Players

How I Opened a Franchise With My Future Father-in-Law

At age 26, Paul Dalrymple decided to open a Buffalo's Cafe with a business partner who would eventually become his father-in-law. They now co-own five locations.
Kate Taylor
Family of Restaurateurs Sign On as Senior Care Franchisees
Franchise Players

Family of Restaurateurs Sign On as Senior Care Franchisees

The Savoie family serves their community through entrepreneurship, whether they are running restaurants or operating Executive Care franchises.
Kate Taylor
Why It's Key for Franchisees to Have an Exit Strategy
Franchise

Why It's Key for Franchisees to Have an Exit Strategy

You may not realize it when you buy a franchise, but franchising is a journey. And, every journey must eventually come to an end.
Joel Hall
McDonald's Goes 12 Months Without U.S. Sales Growth; Execs Promise Customization and 'Convenient' Payments
McDonalds

McDonald's Goes 12 Months Without U.S. Sales Growth; Execs Promise Customization and 'Convenient' Payments

Even though McDonald's same-stores sales declined in October, the fast-food chain was able to beat analysts' expectations.
Kate Taylor
Why This Pastor and Father of 4 Opened Up a Sandwich Franchise
Franchise Players

Why This Pastor and Father of 4 Opened Up a Sandwich Franchise

Jerry Lewin discovered franchising as a new way to help people, while continuing his work as a pastor.
Kate Taylor
A Nonprofit Director Raises Funds With a Blimpie Franchise
Franchise Players

A Nonprofit Director Raises Funds With a Blimpie Franchise

When Bobby Calvillo realized the Affordable Home of South Texas didn't have the funds to build the homes low-income families needed, he took matters into his own hands.
Kate Taylor
Leaving Corporate America for Franchising After 30 Years
Franchise Players

Leaving Corporate America for Franchising After 30 Years

Paul Deal didn't know what to expect when he opened a one-man business as a Floor Coverings International franchisee. Here's what he's learned.
Kate Taylor
Restaurants Aside, Employment in the Franchise Industry Slumps in October (Infographic)
Franchise

Restaurants Aside, Employment in the Franchise Industry Slumps in October (Infographic)

Job growth in the franchise industry slowed down in the second half of 2014, compared to a strong growth March through June.
Kate Taylor
How These Three Stay-at-Home Moms Teamed Up to Buy a Franchise
Franchise Players

How These Three Stay-at-Home Moms Teamed Up to Buy a Franchise

Jianna King, Jaysie McLinn and Jodi Gallen opened their own franchise - all while staying home with their kids.
Kate Taylor
Burger King Posts Strong U.S. Sales Growth as McDonald's Flounders
Franchise

Burger King Posts Strong U.S. Sales Growth as McDonald's Flounders

The Whopper maker is looking to new frontiers, introducing mobile payments and making a push into India.
Kate Taylor
This Couple Discovered Franchising as a Way to Give Back Locally and Globally
Franchise Players

This Couple Discovered Franchising as a Way to Give Back Locally and Globally

Phil and Sheila Harris saw Dream Dinners as an outlet for their philanthropic work.
Kate Taylor
How This Independent Thinker Realized Franchising Was the Right Fit for Her
Franchise Players

How This Independent Thinker Realized Franchising Was the Right Fit for Her

Pat Lakatta worried that franchising would compromise her freedom and flexibility. Today, she has realized that couldn't be further from the truth.
Kate Taylor
The International Franchise Board Tries to Dig Up Details on Labor Board's 'Joint Employer' Decision
Legal Center

The International Franchise Board Tries to Dig Up Details on Labor Board's 'Joint Employer' Decision

The IFA plans to file a request with the National Labor Relations Board to disclose the reasoning behind deeming franchisors 'joint employers.'
Kate Taylor
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