Why Buying a Resale Franchise Makes Economic Sense
There are a lot of reasons why you might want to buy a resale franchise. It provides a shortcut into running a franchise business because you get to skip over the whole store build out phase, and you don’t have to hire staff, purchase equipment, and build brand prescience in the territory. Not only that but buying a resale franchise makes a lot of good economic sense. Here are the ways you will benefit financially.
Easier to Finance
Franchising comes with low risk, and you’re taking even less risk with resale franchises. This is very attractive to banks if you’re looking for financing. The near-guaranteed success and stability of the company will make securing a loan much easier, and it should be possible to arrange for better terms as well. You might be able to get a lower interest rate, and more flexible payment schedule.
Training Staff Costs Time and Money
When you buy a resale franchise you’re taking over the business and everything in it including the current staff. Each staff member takes a certain amount of time to train, and the hours and materials it takes to train them cost money. Those are finite resources that you will be able to direct towards developing the company instead.
You Already Have Customers
Oftentimes when a new business opens things are slow at first. It takes time to get the word out and attract customers. It takes even more time to create the brand loyalty that generates repeat business. With a resale franchise, all that legwork has already been done by the previous owner so when you start you’ll already have a large customer base from the moment you start.
There Are Many Opportunities
Many franchises in North America are owned by Baby Boomers. Now that they are getting older they’re looking to sell so they can retire. This is creating an enormous amount of opportunities for people interested in buying a resale franchise. Franchising is especially attractive today because it offers stability in these times of economic uncertainty.
The Overall Cost Could Be Lower
Although the franchisee might be asking for more than the price of a new franchise, when you take into consideration all the other fees and expenses that come with starting a new franchise you could be paying less. Combine this with all of the known advantages and it seems obvious that buying a resale franchise could be the best way to get into franchising.
More Bang for the Buck
All things considered, resale franchises simply give you more value. You get all the wonderful advantages of a franchise (established business model, marketing and technical supports, supplier networks, etc) and a shortcut though the build out and hiring phases to go directly to the good stuff—the part where you start earning money. Buying a resale franchise is economically prudent and wise.
These of the reasons why buying a resale franchise makes economic sense. Take a look and find a great resale opportunity in your area on BeTheBoss.ca Franchise Resales.