All posts in Franchising

Franchising is a partnership between two parties. One fully owns the company and is responsible for protecting the franchise or branch. The franchise manager is responsible for maintaining the standards of the original. Both parties benefit from this partnership. The party who owns the company is called the franchisor, while the other party is called the franchisee. The franchisee has the responsibility to uphold the franchisor’s established industry standards.

The important thing about franchising is that the original business owner has to have the means to provide the franchise with the necessary equipment. That also means that the original company has also had significance in the community it serves. This can be achieved by using the Internet for marketing. Online marketing may take the form of search engine optimization (SEO), online banners, or pay-per-click ads.

Business websites are effective in introducing the company’s products, services, and standards to potential clients. Business websites are also great for attracting employees, managers, and fellow businessmen interested in franchising. It is good to make the business website aesthetically attractive, easily navigable, and extensive with information.

A business that has become famous in its original location and that has gained enough recognition can expand by franchising. A franchise is a branch, another establishment that is basically the same company but in a different location. This franchise then has a right to be known as an establishment in itself. This is where the need for franchise websites takes place.

The franchise websites act as a link to the original while being an individual entity. Web developers can make these franchise websites as individual websites equipped with links to the original business website. The original website shall also be equipped with links to its affiliates, the franchise websites themselves.

franchise websites similarly benefit from attracting customers, employees, and potential businesspeople who would like to make try their hand at a new business venture. The chain always has potential to grow. That is comparable to a tree with roots that grow so extensively that new plants can grow from it. Life goes on, and businesses keep growing. The possibilities for business growth always have the potential to flourish like a forest.

Franchised operations in India are increasing by the day. Being geographically vast and culturally diverse, India offers the most favorable franchising environment. While companies benefit by having many profit making outlets in different parts of the country, franchisees in India benefit by being able to generate good returns with little investment and risk involved. Entrepreneurs are making the most of India’s franchising market and growing economy by becoming successful franchisees. Indian franchisees can now choose from a plethora of international as well as domestic franchising companies. There are numerous attractive franchising options available in various sectors.

Ever since the franchising boom in the nineties, there have been many success stories. Franchisees in India helped many businesses grow and establish, while also gaining immensely from their business ventures. Examples of international franchises that have been successful in India include food and beverages giants such as Subway, Mc Donald’s and Kentucky Fried Chicken among others. Indian companies that have benefited from franchising include names such as Barista, MRF, NIIT and Apollo hospitals among others. It’s not just the bigger companies; smaller international and domestic companies also look for franchisees in India. The capital required for such ventures would be smaller when compared to highly reputed companies. The downside however, is that the risks are more, since you cannot ride on the popularity wave generated by the reputed companies.

Depending on your choice of business, you can either work from home or from an outside location. The initial capital you may require to start a franchising venture will depend on the type of business and the franchisor’s requirements. Most home-based franchise options are suited for work-at-home women. Cosmetics, healthcare products, services, home business household products and e-commerce ventures, make for convenient yet rewarding franchising options. Franchisors provide training and support and your business can gain from the image and professionalism of the franchising company.

Franchising allows entrepreneurs to have their own business, without many of the risks associated with a start-up business. Franchising also offers you great income and a flexible work style. But, as a potential franchise purchaser, you need to carefully consider the finances and risks associated, prior to starting your business. Read Franchise Plus to learn about the benefits, profits and risks associated with franchising in India. We help you make an informed franchising decision for a successful franchising venture in India.

Franchises: Finding the Perfect Fit
Every franchise is an opportunity but every franchise is not the right opportunity for you. A successful franchise has to be the perfect fit. The business has to suit its owners. When potential investors discover a few basic facts about franchises, they can find the most suitable business for them.
Finding the Best Franchise: 5 Fool-Proof Tips
1. Getting Acquainted
Potential investors must spend time with the franchisor. Have several conversations with the franchisor. This person knows the business (its methodologies and processes) and the franchisor has developed a winning business model. The industry knowledge, expertise, and support of a franchiser helps every business get off to the right start.
Yet getting acquainted is a two-way street. The franchisor must also gain an understanding of the investor. The franchisor needs to be aware of the franchisees position and skills.
2. Ask Questions
Ask questions about the business. An experienced entrepreneur can ask informed questions but never let lack of experience keep you from asking anything and everything about the venture. The franchisor did not know everything about the business at the beginning.
Franchisors welcome inquiries. They want every business to be a booming enterprise. Do not forget to ask the most important question. Am I suited for this business? With their expertise, as well as their knowledgeable observations about investors suitability, they can give a direct answer to that question.
3. Inquire About Success
Ask about the successful franchises. Inquire about the top five businesses. Discovering the reasons behind their success can point other franchisees in the right direction. Potential owners should look at themselves and their circumstances in a realistic manner. Think about the characteristics and mindset, as well as the effort and determination, needed to run a thriving franchise.
4. Inquire About Failure
It is important to know about failed businesses as well as successful ventures. While franchisees can emulate successful businesses, they can avoid the pitfalls of failed enterprises. Potential owners gain power from knowledge. New investors need the facts; what is holding the failed franchises back from experiencing business success?
5. Get Feedback
Look for honest feedback from family, friends, and former colleagues. This trusted group can give you objective input about your strengths and weaknesses. Franchisees have to be strong in some areas but they do not have to excel in every business skill.
Willingness to put in effort and determination to deal with any challenge is a perquisite for every franchisee. While certain skills can be critical to business success, other jobs can be hired out to professionals. If you lack bookkeeping skills, do not give up on your franchise dream. Hire a bookkeeper.
Know yourself! Introverts will not thrive in a people business. If a franchisee fears dogs, they should not try to groom their way to success. The bottom line and the success of your business revolves around finding the best franchise for you. Find your franchise – the perfect fit for you!

With 20 years of deep research and development, Focus Softnet has developed business applications that have provided the best answers to complex business questions especially for small and mid- sized organizations across the globe. The company is recognized for technical excellence and rapid evolution of solutions that deliver absolute value for money. They develop solutions that move businesses and help them grow in a highly competitive environment.

Focus Softnet, headquartered in Hyderabad, plans to expand its retail footprint across India through the route of franchising. The company looks for passionate, self driven, business minded individuals to partner with them and extend the value offerings to new regions across India, through regional franchise and unit franchise options. The franchise facts of Focus Softnet consists of Regional Franchise with area space of 250-300 sq ft. and Rs 18-20 lakhs as the capital investment and Unit Franchise with area space of 100-150 sq ft and Rs 3-4 lakhs as the capital investment. The two main constraints i.e. quality and customer satisfaction are the pivots of their value proposition to the clients.

Franchising has outgrown the narrow concept of marketing a product or a service through its distribution channels. Focus strongly believes in the franchising formula, which provides a complete business opportunity that involves management, accounting, finance, economics, quantitative analysis and marketing. Focus has an established network of 21 offices spread across 13 countries, and it plans to open 45 franchisees in the next 5 years.

Speaking on the occasion, Mr. Faisal Mohammed Raziuddin, AVP at Focus Softnet, added We are keen to partner with people with specific knowledge of channel development, sales, development, business solution understanding with business capabilities. Focus Softnet is looking forward to a vigorous expansion drive across pan India through our channel partners (regional owners and unit franchise). Envisioning our future plans we recently opened 2 franchise outlets in India and are in process of becoming the largest player in the ERP solutions systems in India.

On the pact Ms Sonya Chowdhry, Director Franchise India Brands states We are pleased to have Focus Softnet with us. We will aggressively provide a concrete structure to develop, grow and expand various business models of Focus Softnet and will further enhance its expertise in the marketing and recruitment system.

The need for ERP is increasing as the SME segment grows and fulfilling this need is FOCUS SOFTNET. Focus Softnets core competence is in its product offering for various categories like Entry Level solutions, Mid range products and specialized products which are custom built and appropriate for bigger corporations that can be tailored to suit every business requirements.

Business franchising, in various forms, has been around for decades, and it proves an eternally popular business vehicle for start-ups and for those looking to break out of the 9-to-5 rut. It hosts its own range of advantages and disadvantages, of which it is important to take notice before committing to purchase. Likewise for the franchisor, the business model has notable advantages that many businesses might at some time like to consider, as a more effective way of growing the business over a short period of time.

Business franchising is a less risky way to start a business. If youre considering giving up your job to work for yourself, you might like to consider business franchising options that may be available. Business franchising allows you to run a branch of someone elses business, providing you with a blueprint business plan thats been tried, tested and is successful in other areas. It also gives you an opportunity to benefit from the experience and industry knowledge of the franchisor, which you would otherwise have to gain from your own experiences in business or in the employment arena.

An additional advantage to business franchising is that a number of high street banks support most major franchising opportunities, and are more willing to lend money to cover the franchise fee and start-up costs than they would be with other businesses and enterprises. That means you will be more likely to obtain funding for all your initial costs if you elect to run a business franchise rather than opting to go it alone straight from the off.

For the franchisor, business franchising can be a profitable and useful model to adopt. Firstly, it can raise substantial capital in the form of franchise fees, which can often run into the tens of thousands. This can be used to finance the development of the franchise opportunity, and can also make the promoter of the franchise particularly wealthy. Additionally, many business franchising opportunities also require a proportion of revenues to be paid from each franchisee in royalties, providing an on-going income to the business.

On the business side of things, business franchising allows a business to achieve rapid but controlled growth, which would be simply impossible were it to be effected organically. While it does mean giving up some control of the way the business is run, particularly at an individual franchise level, it nevertheless allows the business to grow geographically and in terms of revenues over a very short period of time. With the right franchisees, business franchising can prove lucrative as well as being an excellent way to prompt and maintain growth.

Considering the advantages of business franchising, it would appear to be a particularly useful model for all parties concerned. While that is the case, its also important to bear in mind the disadvantages, such as the lack of absolute freedom on both sides of the fence and the risk that either side to the deal might turnout to be wrong for the relationship. Nevertheless business franchising will continue to prove a popular way of doing business.