HOW TO EVALUATE A LOW-INVESTMENT OPPORTUNITY
Buying a job or following a dream? Franchising can offer an inexpensive way to go into business with some real support behind you, says Simon Lord
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A small investment can actually offer a franchisee the chance to start small and grow a sizeable business.
For many people looking to make the jump into self-employment, it makes sense to start with something that doesn’t mean putting their whole house on the line. A popular misconception is that low-investment franchises are about ‘buying yourself a job’. In some cases, that can be true – and there’s nothing wrong with that. In other cases, however, a small investment can actually offer a franchisee the chance to start small and grow a sizeable business. It all depends on what you want – and what you choose. Low-investment franchises cover a huge range of business types as you can see in our Franchise Directory of over 250 different opportunities, searchable by different investment levels.
If you’re looking at a low-investment franchise, how can you expect it to differ from a franchise that costs maybe $200,000 or more? Less than you might think, it would appear. Whether it’s a cleaning business or computer services, you should still expect:
- A proper franchise selection process that assesses your suitability for the business – not just whether you can carry out the work involved, but whether you can communicate with customers, make sales if required, run the business successfully and maintain standards.
- Assistance with getting any finance you may need from a reputable lender – perhaps by helping you prepare a presentation for a bank.
- Full training in both the operational side and the management side. This may involve everything from equipment maintenance to scheduling, quoting, invoicing and credit control. It may cover goal setting, calculating break-even and the use of computer systems.
- On-the-job experience that helps you learn the business before you start relying...
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