It is great that you have finally decided to get into the world of business ownership. Probably you have previously tested your skills as a business owner or possibly this is a new experience for you. Irrespective, you probably have one big question on your mind as you begin the search for your next business: What are the primary differences in buying a franchise vs. buying a business? Let’s take a look.
The Support Network
When buying an established business, you will have your own support network. You might have a team that supports you as you plan new goals and a new direction. You will possibly also have a transition team that stands by you as you take this responsibility in your hands.
In case of franchise, you get all this and more.
In case of a franchise, the roots of the support network are really deep. Additionally, you get the support and assistance of people who have had success within the franchise. Long after you buy and start a franchise you will have access to their brain power to assist you strategize and grow.
Continuing Partnership
All through your franchise ownership, you will have a reliable partnership with the corporate office of the franchise you are purchasing. This means, you won’t be alone ever to find out how to do something or make new marketing collateral for your business. Long after you have purchased a franchise, you will still have assistance, and ensured direction from the experts of your franchise.
This ongoing partnership is a key difference in buying a franchise vs. buying a business.
Disclosure Documents
Before you buy any business- startup or franchise- you need to have a great knowledge of what is happening in the business, what has happened and what will happen in future.
The Federal Trade Commission (FTC) needs that franchises give this information in the Franchise Disclosure Document (FDD). This includes everything from financial performance to any restrictions, litigation history, fees you can expect to incur and any other proprietary information.
But, in case of business opportunity the documentation can be as small as one page, whereas most FDDs are over 100 pages.
Which One to Choose?
Franchise opportunities in India are a lot less risky. Even though, you are still responsible for the growth of the franchise and able to be innovative in marketing your business, you can be sure that you are entering a ownership that is backed by a strong support network. This type of security is tempting to many people with a business mind frame as it is stable yet empowering.
For Franchises or Business Opportunities in India, feel free to contact Businesssaathi now.