Archive for the Franchise

In my previous blog post “Looking for an Opportunity in this Economy“, fast food was one of the sectors of economic opportunity for 2009. Beware, most fast food franchises are prohibitively expensive to open, but if you got the green, many successful entrepreneurs have made a nice return on their investment.

Here is a list of some well known franchises in the fast food niche:

Dunkin Donut’s Franchise- love their coffee, sandwiches and donuts- If I owned their franchise I’d look like the Dunkin Donuts Man!

Cinnabon Franchise- who can resist the smell of cinnamon rolls with mounds of gooey icing?

Kentucky Fried Chicken Franchise- Although I think they miscalculated the desire for healthy meal choices, their grilled chicken menu is finally a step in the right direction.

McDonald’s Franchise- I remember when I was growing up in the 80″s, I heard a statistic that McDonald’s had produced more millionaires than any other franchise system- not sure how true that is today considering there is a location on practically every corner , but still a household name with lots of staying power, notoriety and advertising muscle.

Sonic Drive-In Franchise - Cool commercials, cool location layouts

Dairy Queen Franchise- The marriage of ice cream, burgers, sandwiches, etc are a home run in my book for family friendly food

Cold Stone Creamery Franchise- I get it, it’s cool, they were the original, but holy fat attack! But what the heck it’s ice cream and its a treat, do an extra lap tomorrow and enjoy dessert tonight

Moe’s Southwestern Grill Franchise- Think of a freshly-made, right in front of you Taco Bell with and awesome fresh salsa bar, love Moe’s!

Pizza Hut, Papa John’s, Domino’s Franchise- not real pizza in this ex New Yorker’s book, but great market penetration, brand recognition, and customer base.

Subway Franchise- still the number one franchise in various franchise rankings, more of a Blimpie man myself, love the fresh sliced meats vs. pre-sliced, but Blimpies is hard to find in some areas of the country.

Jimmy John’s Franchise- a local favorite here in South Florida, love the unwich a carb watchers delight-cool sub, no bread!

See Part 4 for a list of franchise opportunities in another sector of opportunity.

(Operation Entrepreneur does not receive compensation from any of the above mentioned companies and the information provided is informational only, this blog is not an endorsement or offer to sell any of these businesses. If you think one of these opportunities may be for you, please do your research carefully, contact the company directly and speak with your attorney, tax advisor, business advisor, and accountant before making any decisions.)

Click the book me / hire me link if you would individual consulting on starting a new business or purchasing a franchised business.

Opening a business can be a risky proposition, even in good economic times, starting a business is fraught with dangers and pitfalls.

A path that many entrepreneurs have chosen is instead to purchase a franchised business. In a franchise, you are purchasing someone else’s business; they have perfected the marketing, sales, operations, management, and provision of the product or service. Their system reduces the errors most small business are prone to encounter and increases the chances of long term success for the business owner. In a franchise, in exchange for an upfront fee and an ongoing royalty, the entrepreneur gains the rights to own and operate the business following the franchisor’s model, philosophy and most importantly-their system. The purchase allows the entrepreneur to use their trademarks/ service marks, market and distribute the franchisors products and services and use their system of operations.

Some of the advantages of a franchise are: 1) a proven business model, 2) training, education and support, 3) a clear road map / business plan, 4) financial assistance in financing the business. Franchising can be an effective route to successful business ownership if you do not mind following someone else’s plan. Franchises are very strict in setting rules of what the franchisee can and cannot do in the marketing and operating of the business.

Take time to read the fine print to ensure you know what you are committing yourself to in the franchise agreement and make sure you can live with those commitments. Since most franchise agreements are for 20 years or more, you will be in business together for a long, long time.

In case you missed the April 2009 issue of Entrepreneur Magazine which contained an article called “10 Sectors Poised for Growth”, here is a quiick recap of some areas of opportunity in this economy.

1 ) Services
2 ) Discount Stores
3 ) Fast Food
4 ) Second Hand Goods
5 ) Medical Office Buildings
6 ) Netbooks
7 ) Education and Health Services
8 ) Social Networking
9 ) 3-D
10 ) Savings