How to replicate the success? In this business model you find an option
In the midst of the crisis, some brands reinvented themselves, innovated their offerings and launched new low-investment business models. There were not a few franchises that decided to take the opportunity to acquire new locations or those that already plan new openings, growth and even international expansion by 2022. Join the sector!
- We invite you to read the full October issue of mag21 of Entrepreneur .
What do Immaculate Water, Beleki Minidonuts, Businesskids, Kidzania, The Cooking Table, Max Dry Cleaners or Wing Army have in common? All are Mexican brands that offer you the opportunity to undertake and, with their support, increase your chances of having a successful business.
Yes, throughout franchise history, this model has proven to be more resilient to crises. "85% of the brands, when they are franchises, reach the fifth year of operation, compared to the independent ones, which barely have a 20% probability of exceeding two years," Julio Beleki shared with me, when he assumed the presidency of the Mexican Association of Franchises (AMF).
And in these 18 months it was possible to verify. "A locomotive passed us," he said, referring to the COVID-19 pandemic. However, the guild, made up of more than 700 brands in the country, has shown its strength.
They managed to move forward and under the # JuntosSomosMásFuertes campaign they held in person the 44th edition of the International Franchise Fair in Mexico City last September.
In the midst of the crisis, some brands reinvented themselves, innovated their offerings and launched new low-investment business models . There were not a few who decided to take the opportunity to acquire new locations or those who already plan new openings, growth and even international expansion for 2022. In fact, the president of the AMF predicts that the sector will close the year with a growth of 5% , which he has sustained during this 2021.
Juan Manuel Gallástegui, founder of Gallástegui Armella Franquicias, one of the deans in the sector defines that: “Franchising is synonymous with growth, replicating the success of others and making it yours. It is the possibility that a successful concept can be present in many markets and the option to undertake ”.
And Julio Beleki himself, founder of the brand that bears his surname, recognizes that, had he not opted for this model, he could not have multiplied, nor now be a franchisee in Mexico of international brands such as Cinnabon, Dennys, Freedo or its new acquisition: Juan Valdez.
Another good news is that now you don't have to go completely undercapitalized to acquire a great brand . In the October edition of Entrepreneur you will find that it is possible to invest from 5,000 pesos in the franchise sector under the crowdfunding scheme.
But like any business model, franchises also have their rules. In these stories you can discover if this model is according to your profile.
After a year and a half of confinement, the activities began to resume their rhythm. I invite you to look at the last quarter of 2021 with optimism. I leave you a phrase that sums it up:
Success is not the end, failure is not ruin, the courage to continue is what counts ”.