Speak with a franchise expert today!
Call or Text: 801-603-5400
CheapFranchise.com can help you find financing!
Why a cheap franchise is right for you.
You want to start your own business, but where do you start? Most people would think that you need the next great idea or that you need to find a market segment that has big potential and build a business in that market. With franchising there is no need to reinvent the wheel and build a business model from the ground up. You simply need to identify what type of industry interests you most and if that industry has a place in your market. You don't have to create new products or perform R&D in your garage every night until you discover something revolutionary that will then drain your bank account to develop, produce, and market. With a cheap franchise you are purchasing the ability to perform a service or provide a product that has already been developed and that has a proven marketplace need. You are purchasing name recognition with a strong organizational backing. Take a look below at some reasons why a cheap franchise is the best way to fulfill your entrepreneurial dream.
Franchise Q and A:
1. What is a franchise?
A. A franchise is a licensed business or brand. In terms of owning a franchise, it means that the original business opens itself to others paying into the network and using the name, brand, and products to service a particular area. Established brands often start franchising in order to start reaching markets that would otherwise be impossible to service.
2. What is a cheap franchise?
A. At CheapFranchise.com we characterize a cheap franchise as a franchise brand that doesn’t take more than $100K to start operating and that doesn’t need a storefront location (which helps with lower operating costs).
3. What is a franchise fee?
A. The franchise fee is the initial price that a brand has set to become a licensed franchise member. It gives the person buying the franchise the ability to use the name and services that the brand provides.
4. Do all franchises have royalties?
A. In short, yes. Brands have royalty payments in order to produce revenue for the franchisor. This money is used to drive innovation, develop new products, and offer better support to franchisees. Royalties are usually a percentage of gross revenue. Many brands also have a marketing royalty that pays for larger and much broader marketing efforts.
5. Is the franchise owned by me or by the company?
A. Your franchise is yours! It is locally owned and operated by you. You acquired the rights to use the name and the services that the franchise provides. However, you agreed in your franchise agreements that you would operate within a certain parameter of professionalism and representation of the brand. The franchisor still holds rights to terminate or remove your franchise if you do not follow the outlined parameters.
6. How do you buy a franchise?
A. Your franchise buying experience can start right here on CheapFranchise.com. It's best to start browsing brands that fit in with your interests and that have a place in your local market. Next, you will be able to speak to a franchise expert, start to gather more information, speak with other owners of the brand you are interested in, and finally making a decision to purchase. The process will be laid out for you and you will have a clear plan in front of you as you start the process.
7. What is a Franchise Disclosure Document?
A. A Franchise Disclosure Document, FDD for short, is the industry standard for franchises to disclose information to potential franchisees. This legal document gives you insight into the brands current standing, its locations, franchise costs and ongoing fees, financial information about the network as a whole, and many other important pieces of information about the brand.