Franchises serve as a cornerstone of the American economy. From McDonalds and Subway to cleaning companies and car rental services, franchises are unique and interesting business endeavors that capture the attention of many business-minded people. If you are considering becoming a franchisee, you need to find a reputable Tampa business attorney to provide support and guidance as you navigate the often rocky roads of owning a franchise location. You also need to understand the basic and complex implications of investing in a franchise.
The Basic Concept of a Franchise
Franchises are everywhere. If you can walk into a store in any state in the country, chances are it is a franchise. Franchising is a basic business strategy that essentially creates a network of interdependent businesses that share brand identification, successful business strategies, and marketing and distribution.
If you buy into a franchise, you pay a large amount of money for the rights to use the proven procedures and systems of the existing business. You promise to work within the prescribed business system. This arrangement is very appealing to some and rather disruptive to others.
The largest allure that franchising has to offer is the ability for someone to enjoy business ownership and relative independence without having to experience the risks of starting a business from the ground up. Investing in a franchise allows for the use of every proven strategy and system that business already has in place. The company’s established franchisee procedures serve as guidelines to ensure success.
Unfortunately, franchising also makes some investors feel limited. Franchisees must adhere to the prescribed methods and cannot utilize their own creative juices to help business thrive. This becomes frustrating for headstrong and independent people who like to forge their own paths. Franchising is also expensive! Short of perfect credit or a wealthy business partner, most franchisees need to borrow money and spend years paying it back while also paying the main franchise company the requisite franchise fee.
Every business opportunity has its good and bad points, so it’s especially important to speak with a Florida franchise attorney to make sure you are making the right decisions and have your own interests protected.…