It’s been estimated that less than 12% of the businesses in North America are franchised, but they account for over 50% of all North American retail sales –more than four times their share of the dollars. And there’s areason why franchisees get more than their fair share of the market. In general,franchisingoffer you:

• Experience: franchises already have units up and running. This means that you can avoid expensive start-up mistakes
• Training: You’ll be taught what you need to know to start and run the business
• Support: You’ll have the advantage of ongoing managerial, marketing, sales support and research and development to keep up with the changing times and market conditions
• Support of other franchisees: this is a frequently overlooked benefit, but franchising is probably the least political system going with the vast majority of franchisees really working togetherto “row in the same direction,” build the brand name and contribute to one another’s success
• Advertising: Professionally prepared and well tested advertising can give you a huge advantage in a competitive market. Cooperative advertising programs with the company and other franchisees can provide national exposure at a more affordable price
• Site Selection: You’ll receive advice in selecting a site and arranging the interior for your most efficient usage
• Name recognition: Brand names bring more customers into the business and provide a competitive advantage that independent units can never afford
• Speed and Efficiency: The franchisor will save you time in starting up so that you can begin working with customers right away instead of trying to work out unforeseen problems
• Simplicity: Franchisors try to keep your business as simple as possible so that you can concentrate on the activities that will make you the most money
• Friendship: Because franchises often tend to attract certain personality styles to each type of business, you will find many like-minded people in the group. You’ll make friendships that canlast a lifetime.
• Friendship: Because franchises often tend to attract certain personality styles to each type of business, you will find many like-minded people in the group. You’ll make friendships that canlast a lifetime.
• Regulation: franchisor business practices are tightly regulated by the Federal Trade Commission. You will be provided with a good deal of information that is required by law for the franchisor to disclose before you ever make theinvestment. Some of the disclosures include the names and contact information of every single person in the system; any lawsuits or pending litigation; background on the management team and corporate financials.
• Financing: While franchisors do not provide financing directly for their franchisees, it is relatively easy to get loans for a franchise given the proven track record of success. Having said that, however, you should know that business loans are quite different fromhome loans: in mostcases you will need at least $50,000or moreof your own capital before the bank will finance the rest. Typically, what you will need overall is somewhere between 30-50% of the total investment
  Good franchisors are committed to your success: They are no morethan a phone call away from the day you sign your agreement to the day you sell the business or turn it over to someone else.

1. Education: There are a lot of myths and misperceptions about franchise ownership,and sorting out the fact from fiction can be confusing. A consultant can provide valuable information that will enableyou to make a truly informed choiceabout what your options really are, what the owner’s role in various businesses really is,and what it takes to succeed as a franchisee. The key is to have all the facts and not to make a decision based on emotion, such as someone who thinks: “I love golf so owning a golf franchise will be perfect for me”, or missing an opportunity that could be perfect because the franchise doesn’t “sound exciting” when in fact –if you really knew what the owner’s role in that business was –it might be a perfect fit.
2. Helping you define for yourself what you’re really looking for: most people start with the premise that they want something “fun” and something that they’re “passionate about” and, of course, something that “makes lots of money”. But what does “fun” mean for you? Do you want to stay in one location and have customers come to you, or do you want to be out calling on customers? Do you want to manage lots of employees, or a few or none? Do you want a casual environment or professional? Do you want a business that’s only open Monday-Friday or are retail hours ok? It’s important to know your criteria before you get started looking for a business.
3. Saving you time: There are a lot of great franchise opportunitiesout there. There are also a lot of, well, shall we say, not so great ones. And then there are some that could be great for someone, but maybe not for your particular skills, finances, values or goals. Do you really want to spend your time investigating all of them? A franchise consultant can help youfocus your energies on the ones that have good validation by current franchisees, strong reputations within the franchise community and good overall potential…and that are a good fit for you.
4. Expanding Your Choices: Frequentlypeople are concerned that working with a broker will limit their opportunities. There are close to 5000 franchise concepts here in the United States and, after all, brokers don’t work with allof them. But the truth is that many people findthat brokers actually expandtheir opportunities and introduce them to great concepts they would otherwise have missed. In fact, about 80% of all people who do work with brokers will tell you that they never would have found the opportunity they investedin on their own.
5. Helping you with the research and due diligence process: In the same way that franchising works because you have a proven system to follow, there is a proven system to findinga franchise. A franchise consultant can help guide you through the process and make sure that you get all the information you need before you sign on the dotted line.
6. Helping you with referrals: Both before you invest in a franchise and even after you enter into an agreement with a franchisor, you are going to need help in finding good people to work with –a franchise consultant will have good referrals for many of the services you are going to need both in making the decision and in starting your
   business such as a franchise attorney, CPA, lenders –both SBA and other alternative forms of financing as well as many other service providers.
7. Last but not least, it doesn’t cost you anything: the services of most franchise consultants are free to you, the potential franchisee. If you invest in a franchise that the consultant has referred you to, the consultant receives a commission from the franchisor –in much the same way that an executive recruiter receives a commission when they place a candidate in a job. Your investment is exactly the same whether you use a consultant’s services or go directly to the franchisor. This is a marketing expense of the franchisor to bring them qualified candidates