Why buy a franchise?
Franchises now exceed more than a billion dollars a year. According to the US Department of Commerce, franchising is the surest path to success for new entrepreneurs. Franchising is literally fraud-free in the United States and the cases, which the FTC alleges as fraud, are generally completely bogus and simply used as PR ploys through creative writing tactics by prosecutors on behalf of competitors. of franchise companies.
Franchising is a proven business concept that originated in the United States more than 100 years ago, first with the Singer Sewing Machine Company and then with General Motors. Over the last 45 years, franchising has become the most successful marketing concept ever invented.
In 1994, franchises contributed more than $900 billion to the US economy in sales of goods and services and employed more than one million people. Today, a third of every dollar spent by consumers goes through a franchise. Franchise outlets are in the 450,000 unit range by all estimates and should break the half million outlets by 2008 employing 8 to 10 million people.
Franchising is the preferred marketing strategy. Globally, franchising has become the marketing strategy of choice, and its growth seems unabated. This is because franchising allows individuals or families with a desire to operate a business to start that business while being in the same “Family” with the franchisor.
Statistics from the US Department of Commerce indicate that after 10 years in business, 90% of all independent retailers have failed, compared to only 10% of those aligned with a franchise. This is just one of the reasons why you might want to consider franchising with all its economies of scale and accompanying brand names. The franchise is the largest business format ever created in the history of human endeavor. Think about this.