Investments: Starting Your Own Business VS. Franchising
October 13, 2015
You finally decided that working for someone else is not for you. Maybe it was the long hours, maybe it was the lack of upward mobility, or maybe it was just a passionate hate of your supervisor or boss. Maybe it was not your decision at all -- maybe the company you worked hard and put years into closed, and you were laid off. Maybe you love your current position, but you believe that you can do a much better service for your clients or customers if you did not have to deal with the red tape of a corporate structure. In all of these instances, the obvious answer is to start working for yourself, and start your own business
There is an undeniable advantage to having your own business and being your own boss: you can set the rules, you can manage your time and your company, and you do not have to share your profits with a greedy boss who does not do anything to help you except take your money and make you work harder to fill his pockets.
However, as is the case with most things in life, a high-reward scenario comes with a higher risk. It is true that many prefer the stability and security of a steady paycheck over doing it on their own, and happily trade professional freedom for a consistent amount added to their bank accounts on the 1st and the 15th. Starting and running your own business comes with the requirement of an initial time and financial investment that may or may not give you the return you seek.
Below is comparison of the risk involved in investing in your own business versus investing in a franchise.
Starting On Your Own
If you want to start your own business, meaning your own, unique and one-of-a-kind enterprise, there are many risks to consider. First and foremost, consider the amount of time and money you have to invest. Is it feasible to get started on that budget? Do you have enough to support yourself, your family and your starting business while things get going? The problem with starting your own business is that you very rarely have an idea of how much time and money you'll actually need to start bringing in a return on investment. Depending on the location, market conditions, and type of business you want to start, the investment could vary dramatically. Estimating that number is pure guesswork, and the end result could be far from what you expect.
Another aspect is the actual branding and expansion of your business. You will need a brand, logo, website, marketing materials and a whole lot more brand-related collateral to get your name out there and get recognition from your target community. You also cannot know for sure how long, and how much that is going to take. Once your brand is complete, you need to think about employees. Unless your business will function well forever as a sole proprietorship, chances are, you will need to hire and train assistants and staff to help you run the business. Hiring and training the right people is a difficult and unclear process unless you have a plan.
Starting a Franchise
The upside of starting a business by buying into a franchise is that someone else has already thought of and solved most of the problems you will be faced with when starting a business on your own. Your initial investment is not nebulous -- it is a reliable, calculated and proven amount that is typically needed to get a franchise like this off the ground. Name recognition and branding will not be a problem either because the franchise brand already has marketing, and mass appeal. Instead of competing with it, you will share the rewards of all the marketing dollars that have already been spent promoting the brand. Hiring and training has also been taken care of with proven, repeatable methods that will get you and your staff to a proper performance level quickly and efficiently.
If you are considering opening your own business, consider franchising. Sir Grout's franchising opportunities offer an excellent proven and repeatable plan on how to get your Sir Grout business running quickly and efficiently. Contact us today to take the first steps towards owning a successful business.