Buying a franchise is a key part of “the American Dream”—to own your own business. But franchise ownership requires a lot of self-examination, research, and funding to bring this dream to reality.
Why is Buying a Franchise Attractive?
Starting any business comes with a lot of challenges, but buying a franchise is attractive because it offers buying into a concept that is already fully developed and has a proven record of success, so you are not starting from “scratch.” A franchise will offer a well-developed training program, marketing assistance, and ongoing operational support so you don’t have to define and develop these things on your own. It will come with purchasing power and other types of assistance. Buying a franchise reduces some of the risks involved in starting a business.
Buying Your First Franchise—9 Steps
Here are some key steps involved in buying a franchise:
Do some deep soul-searching and self-assessment. Analyze your strengths and weakness and assess how you will fit into a structured franchise system.
Research industries to find the ones that appeal to you and that may fit best with your background and skills.
Look at companies and review their information.
Narrow down the search to the few companies that seem the most appropriate and appealing to you.
Once you have made a tentative decision, get the company’s Franchise Disclosure Document (FDD.) Study it carefully.
Meet the company’s leaders. Ask lots of questions. Interview existing franchisees. Look at some of their operations.
Carefully plan your finances. Get the financing you will need.
Get specialized advice regarding your legal and accounting needs.
When you feel confident, prepared, and ready, sign the agreement.
Seek Expert Financial Assistance
Contact the experts at Progressive Capital Funding to achieve your financial goals. Progressive Capital Funding can help you grow your business by offering a wide variety of flexible commercial finance options for small and large companies alike. From SBA loans to unsecured business lines of credit, we’re ready to help find options that suit you best.