Could Franchising Be the Way to Go?

By: Maria Cardinal - Freelance franchise contributor to RedHotFranchises.com

 

 (Syndicated News) New businesses take form each year across the country. One decision each entrepreneur must make is whether to start a business from scratch or franchise from an already established business. The right answer depends on the situation each person is in, and their goals.

According to the U.S. Small Business Administration (SBA), there are quite a few advantages to choosing the franchise route, including quality control standards, getting necessary technical and managerial experience, and being able to market a product or service that is already established. The SBA and others in the franchising industry agree that there additional key advantages to franchising.

“For a lot of people, franchising just makes the most sense,” explains Michael Gonzales, president of Monthly Coupons Franchising, Inc.  “Traditionally, choosing to franchise means that you are getting an established product and keeping your expenses lower. It’s much more costly to start a business from scratch and put enough money into marketing to reach a point of consumer name recognition.”

That’s likely the biggest reason that people choose to franchise. Name recognition alone can go a long way toward helping to drum up sales. For Gonzales, it’s a familiar situation. The individuals that decide to purchase a Monthly Coupons Franchise go into it because they know that, for a low franchise fee, they get the whole package.

“Franchising is for serious entrepreneurs who have made the decision that they want to run a business. And most have some sort of sales or marketing background,” adds Gonzales. “For us, it’s simple: coupons are something most people use, so those that franchise from us are getting a great opportunity at an affordable rate.”