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Franchising is a great way to start your own business with the built-in tools and advantages needed for success. However, you are likely concerned about your finances as financial readiness is a large part of starting, owning and operating a thriving business in Canada.
Fortunately, you can invest in a Canadian franchise that doesn't break the bank. Depending on what meets your needs and goals for a brand, you can limit your investment to $20,000 or less, or even keep it under $10,000 when you are starting out. There are many low-cost franchises available for you to explore, and they tend to fall under one of the broader categories below.
When you don't have to build a retail location or pay rent, your operating costs are a lot lower, and the franchise costs are usually lower, too. Home-based franchises with lower entry prices include cleaning operations, home services, business consulting and other services, such as marketing. The bulk of your operation occurs from your home, which is often great for flexibility.
As with a home-based brand, a mobile service doesn't have the costs of a traditional brick-and-mortar location. Instead, you go right to your customers and provide what they need, such as salon services, pet grooming, minor home repair or car detailing. Naturally, there are costs for fuel, transportation and the upkeep of the mobile unit, but there is still a lot of flexibility in this type of franchise.
Operated as a home business, an online franchise involves providing expertise or an intellectual service. Web designers, financial consultants, marketing professionals and performance coaches fall under this umbrella. The service is provided solely online, eliminating the need for and cost of a physical location.
All three of the categories above do have a wide variety of franchise brand options, and all of them have characteristics that keep your operating and starting costs low. The overhead is low because you will not have to pay for a lease or the expenses of operating a separate physical location. Many of these types of franchises do not require a team of employees like a storefront might. Inventory is usually on the lower side, too, so you're not buying a bulk amount of materials upfront or having to pay to store those materials.
As with any other franchise, do your due diligence before signing on to a lower-cost franchise. While your initial financial investment may be on the lower side, you still need to invest your time, focus and passion into your business, so it's important you make the right choice here.