Are you considering buying a franchise?
Business franchising is a great way to invest in the future and can be especially helpful for those who want to get into business but don’t have the capital or expertise.
Franchises in the UK are generally used to describe two different types of business arrangements:
Franchising refers to the relationship between a company and its franchisees. In this case, the franchisor (the company) grants permission for an individual or group to operate a new location under their brand name.
Business franchising refers to any business that has multiple locations within a specific geographic area and uses the same branding throughout those locations.
To understand what makes franchises so attractive as investment opportunities, it’s important to begin by understanding what separates them from other forms of small business ownership.
What is a Franchise Business?
A franchise is a business that has been set up by a company that already exists. The franchisee buys the right to use their brand and business model.
Franchising is a way of expanding a business by selling the rights to use its brand and business model, rather than operating as an independent branch.
If you’re thinking about becoming a franchisee, here are some important things to consider:
- Pick the right one for you. Make sure that you have a solid business concept and plan in place before moving forward.
- Find the right franchise for your skills and experience level. Look for opportunities that match your interests and fit best with your current knowledge base.
- Compare different franchises against each other by looking at their financial viability, reputation, operating procedures, and profit potential. By comparing all the available options, you can make an informed decision on which one is most suitable for you going forward.
What Owning A Franchise Means
The benefits of owning a franchise include building your brand and having an established reputation among customers.
You’ll have access to marketing support and ongoing training from the franchisor, along with their existing systems, tools, and processes. This can help you get set up quickly so that you can begin turning profits as soon as possible.
The responsibilities associated with owning a franchise include ensuring that all staff adhere to the rules laid out by the franchisor in terms of how they should act or behave when dealing with customers (and vice versa).
You’ll also need to be responsible for managing all aspects of your business including customer relations, accounting, marketing, and other administrative tasks.
There are some challenges associated with owning a franchise as well: firstly, there will usually be initial investment needed before opening a shop; secondly, you will have less freedom than if you were running your own business from scratch because there are certain rules which must be followed for customers to remain loyal.
Lastly, it could mean working longer hours than usual due to your role as owner/operator rather than just manager/employee.
What is the main difference from a normal business?
The key difference between a franchise and a normal business is that with a franchise, you aren’t the owner of the company.
You buy into an existing business with a set brand and set ways of doing things. In exchange for this, you pay the franchisor (the person who owns the brand) an upfront fee to use their name and systems in your business.
Franchisors generally have one or more operational manuals that explain how their business works, which can seem daunting at first glance but will help make sure that every store runs like clockwork as soon as it opens its doors.
Types of Franchises For Sale in The UK Right Now
If you’re looking to expand your business, then a franchise may be the way to go. The great thing about franchises is that they are existing models with a proven track record of success. They also provide an umbrella of support and training for their franchisees so that they can focus on growing their businesses instead of worrying about the day-to-day tasks involved in running one.
If you have ever thought about starting your own franchise but weren’t sure which would be best suited for your needs, here are some ideas:
Home Services Franchise
1. Domestic Cleaning
2. Home Maintenance & Repair
3. Painting & Decorating
5. Food & Drink
6. Gyms & Fitness
7. Mobile Car Wash
8. Homeware & Furniture
Eating Out & Takeaway Franchises
9. Pizza Brands
10. Coffee & Cake
11. Organic & Healthy Eating
12. Fast Food Chains
Business Service Franchises
13. Print & Design
14. Training & Recruitment
15. Estate Agency & Property Services
16. Shipping & Forwarding
Which is The Best Franchise To Buy?
Unsure which franchise is right for you? Selecting the right industry for your franchise depends on many factors including which is the most profitable franchise to your individual business goals.
Franchises are a great choice for people who want to start working for themselves. They are also a good choice for those who want the support of a large company behind them, as low-cost franchises can be an excellent investment.
How To Approach Buying a Franchise Business
Before you go ahead and buy a franchise business, it’s important to do some research. The first step is to make sure there’s demand for the product or service your franchisor offers. Check out the website and the social media presence of your prospective franchise.
When you visit a franchisor’s website, what should you be looking for? It depends on the type of business they offer.
Some franchises are very visual in nature—for example, think about McDonald’s or Subway restaurants. These brands have an identity that’s easy to recognise from miles away: bright colours, bold lettering, and fun pictures of food items on display boards outside each store location.
Other franchises are more text-heavy with less emphasis on specific imagery—like services.
You might notice that these types of companies tend not to use images at all; instead, they rely heavily on text because they’re used mainly by professionals rather than consumers who may not have time or interest in reading lengthy paragraphs about why this company is right for them.
Here are our top tips when investing in a franchise business:
- Pick the right industry for you
- Do your market research
- Calculate the costs
- Create a solid business and marketing plan
- Fill out your application
- Cover all legal, financial, and contractual aspects
- Engage in franchisor support
Think investing in a franchise is right for you? If you’re interested in learning more about how to become a franchisee or franchisor, the Franchising module on the My New Venture platform will tell you everything you need to know.