Advantages of buying a Franchise
Below are some benefits which flow from belonging to a franchise network.
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Franchisees have the benefit of associating themselves with an already established brand of the Franchisor.
Whereas, a newly established Business owner trading under their own steam needs to not only build their own brand (which takes time) but also incur upfront and ongoing costs creating and maintaining their own brand.
As a Franchisee you are part of a broader franchise network with other franchisees. This has the advantage of allowing you to leverage off their experience and can be a source of guidance and increasing morale.
It can be lengthy, costly and difficult to establish, document and maintain internal business processes. Becoming a Franchisee has the advantage of being able to use the Franchisor's already existing business processes.
Products and Services
Franchise systems are based on consistency of product type and service delivery across the franchise network.
When you become a Franchisee, you get the benefit of this standardisation as customers already know what to expect.
When you acquire a Franchise Business you are given access to the know-how, procedures, training, management, skills and assistance of the Franchisor. This can be advantageous as you will have someone else to fall back on for advice and guidance.
Sale of Franchised Business
A successful Franchised Business is more likely to attract purchasers of that business in the event you decide to sell in the future (as opposed to stand-alone business).
Franchising in Australia is regulated. As such, Franchisees do receive certain minimum consumer protection measures under the Code and at law, including a dispute resolution process and complaints mechanism through the ACCC.