|
The right franchise, in the right city, in the right part of town, on the proper side of the street (in-going vs out-going), properly trained and financed can be a gold mine.
I was very successful as a franchise owner (auto related) year to year as well as eventually selling my stores for big bucks. Many were not.
Most franchisees are not cut out to own their own businesses. Fewer are competent enough to pick the right type of business to start with. Steve Lightspeed could open stores selling used rubbers and do well. Others on this board couldn't give away gold coins.
Quiznos ran a national ad campaign featuring a rat like mascot with dental problems that made you want to throw-up. Corporate spent money on ads to drive business away! They failed, duh ... every-time I saw one of those ads I went "what the hell are they doing?
Were any of those franchise owners impressed with the food, traffic flow, customer satisfaction, etc, at a corporate location before they invested?
Anyway, the two things that make a franchise worth the investment and royalties are ... Name recognition and purchasing power.
Repeat: Name recognition and purchasing power.
|