How a Franchise Agreement and a Franchise Disclosure Document differ
There are two documents that are of vital importance...
One thing you may have wondered as you weigh the possibility of buying a Canada franchise and becoming your own boss is what the difference between owning a business and managing one really is. Clearly, there are major differences in the financial responsibilities, but both roles call for business sense and leadership skills. However, before you make your decision, it's important to know how different these two roles are in the franchise world.
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The chance to build a legacy
When you own a franchise, you have the chance to create a legacy, and it's one you will leave behind for friends, family, and customers. This is not really true for managers. No matter how long you manage the same place, you will always work toward building up the vision of someone else. And when the time comes for retirement, you may not have left much of a mark on a business you dedicated a lot to growing.
As an actual franchisee, you have the chance to leave your mark. When you do decide to retire as a franchisee, you'll also have more options. You can choose not to renew your franchise agreement or, if the franchisor permits it, let someone else take over the business. You could even keep the business and put someone else you trust in charge of it, keeping it within your family. Overall, you have more options for building and preserving your legacy as an owner than you do as a manager, even if you are a great manager who spends years in the same place.
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The opportunity to build a team
Franchise owners and managers can build a team. However, owners simply have more choice here. They can decide whether they want to be involved beyond hiring their managers. They can choose to handle all the interviews. They also make the call when it comes to building a team and keeping everyone on the same page.
A manager may be able to hire, but when it comes down to it, they do not have full control over this process. In the end, they must answer to the owner.
While you may have managed before, becoming an owner is a largely different role. If you are ready to be completely in the driver's seat in your next venture, becoming a franchisee is the right move.
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