My last blog post provided a number of reasons that entrepreneurs choose a franchise. There are plenty of entrepreneurs that choose to start a business of their own and not purchase a franchise. Some of the reasons they give are:

  • Not enough independence. Franchisees are required to open a minimum number of hours per day and days per week. You must operate the business exactly the way you are taught — no add-ons to the menu or improvements for efficiency.
  • The initial franchise fee and ongoing franchise payments cut too far into the profit margin. One entrepreneur said, “If I am going to spend that much money for them to tell me how to make a sandwich, I may as well spend a month or two learning to do it on my own and pay myself with that fee.”
  • For most franchises, even with a “national brand”, your individual store’s customers are only a few miles from your store. So you still have to do local marketing and advertising.

For some entrepreneurs, a franchise is the best way to own their own business. For others, after evaluating the alternatives, starting up on their own is the best choice. Whichever you choose, it is true that owning your own business is the best way to create long-term personal wealth.

Starting a Business? Start Here. Go Far. LaunchX.com