Why consider franchising when starting your own business?
There can be a number of reasons behind your choice to become a business owner. You may need more flexibility and a better work-life balance, or want to be your own boss.
Franchising offers a number of benefits which starting a business on your own may not. It can be frightening to start a business, but with franchising, you are able to develop and grow knowing there is a wider support network behind you.
Support and training
Being a franchisee you are given the independence of running a small business, but you are supported and guided by a larger business. Additionally, the franchise model makes sure you are given the training and resources you need to operate. At Stagecoach Performing Arts, franchisees are provided with a week’s intensive training course and operations manual to make sure they are prepared.
Often with franchises, you can find peer-to-peer support within the network. Where relationships lead to knowledge share or the pooling of resources to reduce costs. For example, sharing teachers and assistants for holiday cover. If you have any problems, being a franchisee you have access to a support network and qualified staff who can give advice. Stagecoach offers multiple training and development sessions throughout the year. This ensures our Principals and teachers are continually developing and growing in line with changes in the industry.
” When you buy a franchise, you buy a system – an entire method of doing business. There are documented procedures and standards already in place to follow to help ensure your success “
Proven Method
One advantage of becoming a franchisee is that you’re joining a business with a proven record of success. The franchisor will have developed a successful and robust business model and worked though issues before franchising their business. With Stagecoach, our success is validated through our continually growing network of schools and students worldwide. When you buy a franchise, you buy a system – an entire method of doing business. There are documented procedures and standards already in place to follow to help ensure your success instead of creating your own. Meaning you can hit the ground running, knowing the product is tried and tested.
An established product or service
A franchise, like Stagecoach, will often have an established reputation and brand image. There is an existing demand for the product or service This ultimately means you do not have to work as hard to build customer awareness, saving time and money.
In addition to this, relationships with suppliers have usually been established. Offering economies of scale benefits, not only with assets but with services as a bulk discount. There is the additional benefit of the franchisors’ advertising and marketing campaigns, which will impact the smaller franchises.
“Stagecoach offers multiple training and development sessions throughout the year. This ensures our Principals and teachers are continually developing and growing in line with changes in the industry.”
Success rate
Joining a franchise allows you to run your own business whilst reducing risk of failure. This is thanks to the support, training and established business method. In the UK, 97% of franchisee run units are profitable (source)
Additionally, statistically, only four out of ten small businesses in the UK will still be trading after 5 years. When joining a franchise such as Stagecoach the chance of success is higher than going it alone. (source)
Furthermore, franchisees will usually have exclusive rights to a territory. The franchisor won’t sell any other franchises in the same area. Resulting in reduced competition in an area within the brand. You will be the only place to get that product or service in that location.
Time
With franchising, you can take control of a business you are passionate about. You become your own boss with the ability to control your schedule to what suits you best. You have the freedom to be able to nip out to do the school run, or to work from a coffee shop which ultimately provides the choice for a better work-life balance.
