Monday, July 11, 2005

Franchise Advantages

Business Format Franchising not only lends its name to an enterprise but it also provides the franchisee with an entire system of doing business. Since its inception after World War II, the domestic franchise marketplace has seen amazing growth.

Franchising Today:
  • More than 2,500 franchises in the United States
  • More than 750,000 individual franchise businesses
  • More than $1.5 trillion in consumer sales annually
  • The franchise industry employs 18 million people in the U.S. or 18% of the private sector employment
  • A new franchise business opens every 8 minutes of every business day

Franchising Success vs. Small Business Start-ups

Most studies indicate starting a new (non-franchise) business is very risky. In fact, most studies show that over 90% fail within the first 3 years. When studied over the course of just one year over 50% of new independently owned business failed. In contrast, Business Format Franchises, when studied over the course of one year, succeeded 95% of the time. When studied over the initial 5 years of operation, the success rate was 75%. In a recent Gallup Poll of franchisees, the study found that over 94% considered themselves successful and that over 75% would buy their franchise again.

Franchising Ethics
  • Regulated by the Federal Trade Commission
  • Uniform Franchise Offering Circular (UFOC) discloses all pertinent details related to every
  • Franchise Company
  • State by State regulation

International Franchise Association Code of Ethics setting a high standardIn summary, Franchising allows for established brand recognition, a history of franchise successes, an entire system of doing business, a franchise prototype, and a highly regulated industry offering great opportunities to those who want to control their own business future.

For more information and to see if you qualify for a master franchise please contact:

David A. Yoches

Best Franchise, LLC

(800) 456-1550 or (480) 380-8900 in Arizona


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