When you are part of the Franchise community, you are also part of a brand; a recognition people associate with as being successful and communities, as a group value successful business owners.
These brands are in many cases national or international marks of success that people identify with. If you are part of a successful franchise you too will be respected for what the brand and product means.
They provide jobs as well as making a positive impact in neighborhoods, schools and communities.
Business people in general are risk adverse and a recent study by franchise expert, Scott Shane discovered that franchises in general, have twice the success in the startup years as opposed to new businesses that are independent.
New businesses simply have not been tested. Their concepts and business practices are new and without repetition and testing, it will be some time before these concepts are proven to be true and successful. There is no guesswork with franchises and it’s no wonder that income is dramatically shifted for a tried and true concept.
Systems work, but they take time to test, many fail several times before the owner gets it right. Franchise concepts have already gone through this phase and this is part of the goodwill of a business. You don’t have to reinvent the wheel.
The reasons franchises are so successful are plentiful:
Advertising usually involves brands on a National level, which people resonate with.
Unlike many startup business models, franchises use tested systems and this creates repetition, which in turn creates a stable financial atmosphere. This business model can be easily duplicated for further success.
The franchisee has constant support from the Franchisor and this community of like minded people adds to the creation of wealth. Think about it, how many people does a business owner have in his or her corner? Often the support is lacking and it leads to a reduction of brain power.