I’ve just recently started an internship with Franchise Direct. As a consequence of my time here, I’ve gotten more insight into what a franchise actually is. I began to wonder whether or not I could become part of a franchise. I finish college next year with a Bachelor of Arts degree in Business and Sociology and I wonder, would I be in a position to pursue a franchise at that point? Can a student at twenty-one years old have a successful franchise?
Students, like myself, often dream of setting up their own businesses. There is never a lack of aspiring entrepreneurs around any given university. It is all too easy to let our minds run away with ourselves. When I picture my future, I picture success, riches and pride for establishing a profitable business. It’s a vision I know I share with many other young people finishing up in college.
<p style="text-align: center;"><img style="display: block; margin-left: auto; margin-right: auto;" src="http://c1590022.cdn.cloudfiles.rackspacecloud.com/be83a4421c9b405966b0aeea6087370c.jpg" alt="Start a franchise after college" width="509" height="339" />
Say I’m finished college and I want my own business. But I have no experience in the industry. What are my realistic options?
Franchising is probably the most appealing option. A franchise is a method by which the owner of the business allows investors to operate the business in an agreed manner for a financial fee. It takes away the risk of setting up a brand-new business with no market experience, because a franchise is an already tried-and-tested business plan, and one which has succeeded. The franchise sector is growing and expanding all the time, and 97% of franchisees are reporting profitability.
A student should jump at the chance to make secure profits, sick of only getting by on noodles and pasta. I could not be more tired of skimping and saving, with the only result being an empty bank account as soon as something like the car tax comes along.
In university, I became accustomed to certain norms and mores. There was a relaxed atmosphere, and I had control over my day. The idea of a restricted lifestyle with nine-to-five working hours may not appeal to students the way it should. Franchising allows for greater flexibility than one might reasonably expect from starting one’s own company from scratch, or finding a position in another company. I’d consider an online franchise, such as Eazi Apps or American Business Systems,in which the hours and location are not set in stone. A seasonal franchise for example, Christmas Decor Inc, would mean I would not be tied down for an entire year.
There are a number of benefits of a franchise, particularly for students.
When starting out, I think Franchising is a safer way to begin. Bank of Ireland claim that 66% of independent start ups will fail in the first five years.
By beginning with a franchise, you take on a business that has already been proven to work, and you gain a franchisor that is willing to share their experience with you, which is especially useful for a student or recent graduate with limited experience. The franchisee receives initial and ongoing training and likewise has constant support as they run their business.
The brand of the company is already established and customers are often familiar with it (depending on the market penetration of the franchisor). It is trusted and respected, and hence attracts many more customers than a new, unfamiliar brand would do. Clearly this is a much quicker path for reaching success than starting one’s own company.
The franchisee still gets the reality of being their own boss, which fulfils my vision of having something that I can control and take pride in.
The franchisor provides marketing tools and advertising campaigns, as well as a centralised purchasing system. When starting out, not having to think about what kind of campaigns and strategies we should be using creates greater ease for the franchisee, and allows them to focus on the other aspects of running the business.
Why is it not always smooth sailing?
Besides lacking experience, one major flaw in my plan to become a successful franchisee is funds. It’s clear that, as a student, my working capital doesn’t amount to much. Taking into consideration the cost for the franchise, the franchise fee as well as start-up and running costs, money will definitely be an issue.
However, there are ways of funding a franchise that don’t involve having a substantial bank balance. It is possible to apply for grants and government schemes to cut costs. As well as that, not all franchises are beyond the realms of possibility because of an extravagant price tag. Franchise Direct have listed numerous franchises which are very affordable.
A fresh graduate could work outstandingly in favour of the franchise’s interest, because of their enthusiasm above all else. Excited and driven individuals who are new to the world of work and aspiring to be great will be unafraid to commit. They see their future ahead of them and want to start shaping it now. Coming from an educational institution, students will be prepared to figure things out, but will also be happy to learn from the franchisor about how to do the job correctly. Yet they can still succeed in bringing to the company a sense of open-mindedness and innovation, as well as being technically savvy, with the ability to manipulate social media to the company’s advantage.
The idea of becoming part of a franchise seems to me to be a brilliant opportunity for a young person with ambition and drive to create a long-term profitable career. The younger you are, the more you can withstand financial risks with fewer commitments and responsibilities as well as a long life ahead, to make up for losses, on your side. I would definitely give it a whirl.