Franchise vs. Company Owned

Our answer shocks most people when we say, “If you can afford to grow corporately, then you should do that! It is 100% risk and 100% reward”. In basic terms, if you can afford to continue to self-fund your business growth and assume 100% of the risk, then we think it’s best that you continue to do that. But the truth is, most business owners simply cannot afford to self-fund multiple locations or maintain the infrastructure to grow outside of their own city.

Here are several questions that we like to ask our clients when they ask the question above:

1. How much would it cost to open another location or market for your business?
2. How many locations would you like to open in the next five years?
3. What’s the total cost of the amount above?
4. Do you have the time, money, resources or staff to manage that process?

After answering these questions honestly, you may find that expanding your business through franchising will be a good fit for your business. Growth through franchising is nearly always more cost-effective and requires less time and energy than adding corporate locations.