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How to Choose a Franchise That's Growing Learn how to get to the core of what the business is and find out why it's growing.

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Looking for the perfect franchise is like looking for a new car—you'll be pulled in by great deals, extra incentives and what car is newest on the market. But in reality, the process of buying either is more complicated. You'll weigh the pros and cons, look past the enticing incentives* to see how much money you'll actually spend and save and, most importantly, examine how it does in the long term. How can you be sure that the so-called "fastest-growing franchise" you're currently researching will retain its growth potential?

Save time and money by starting with a reliable source.

It can be overwhelming to search for a new franchise—you need to consider what industry you want to work in and then which of the possibly hundreds of franchises within that industry are going to suit you the best. Save time and money by starting your search with a reliable source. Entrepreneur.com is the go-to resource for individuals who are just beginning their search. You'll find which franchises are the fastest-growing, along with stats about each business and links to more detailed information. You'll be able to submit a request for more information right there or link to the franchise website if you want to read more. With all sorts of lists, such as low cost and category rankings, you can easily cross-reference to make sure the franchises that catch your eye are tops in the categories that are important to you. Entrepreneur.com does the work for you, and you can be sure that the information it provides is updated and gives an unbiased look at franchises. When researching, don't forget to talk to other franchisees! Connect with the franchises you're interested in—they can connect you to franchisees, or if there is already an existing franchise in the area, let the owner know you're interested in the franchise and ask if you might talk with them.

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Evaluate product demand.

One of the most important things to look for when researching a franchise's growth potential is product or service demand. The franchise industry is forecasted to add 232,000 jobs in 2020, and, much like that new car, a franchise is not worth your time or money if the business is not going to last. Research the growth projections for the industry of the franchises you're interested in and make sure the economic outlook and its long-term prospects are strong. For example, Kumon is growing quickly because of the disruption in education, but industries like education are always in demand. As of 2020, the potential market for child-related franchises in the education industry is 74 million students. That number is expected to continue to grow, providing you with a steady target market for years to come.

Image credit: Kumon

Learn the core of what the business is—and why it's growing.

Beyond demand, what's in place to make the franchise grow? Does the business create loyal, longtime customers? Does the business have a specific competitive advantage? As a franchisee, will you need to continuously look for new clients, or will you build relationships with customers who stay long-term? To understand the core of Kumon's business, it's essential to know that Kumon is not tutoring—it's a long-term enrichment program. Kids can start as young as 3, and they often stay for years as they work through the levels of the program. Because kids develop diverse skills, from the ability to think critically to organization, in addition to mastering math, reading, and writing, parents often enroll all their kids. Where a tutoring franchise might have a single struggling child for a short time, a Kumon Franchise owner will have all the kids from a single family in the program for years. Multiple enrollments at one time help Kumon Centers grow quickly, and the long-term program provides stability to the business.

* Investment with Kumon starts at less than $75,000, and Kumon provides up to $36,000 in incentives—actual money you'll save! Veterans can even qualify for an extra credit of $10,000.

Take a moment now to learn more about Kumon. Visit KumonFranchise.com, attend a webinar, or call us at 844-846-4331.