What are Different Types of Franchise?
Types of Franchises
There are many business opportunities for those who are looking for franchises to buy and manage. You need to discover the advantages and disadvantage of franchising and become familiar with various types and models. You will find that most if not all franchise offerings do supply training, and advice. The different type of franchises includes industry sector, retail and management franchises. And each type comes with a different set of rules, regulations, possible problems and final rewards.
Such franchises require that a brick-and-mortar store front sell goods and or services. These types operate in areas like shopping malls, strip malls or are standalone establishments. They depend on customers physically coming into the store to make purchases or request services. Usually you need to be a “people person” to run this type of franchise and prior experience is recommended.
These require the franchisee to market and manage the business, but trained staff members actually do the work. This can be a service franchise where orders are taken over the phone or the internet, and staff members carry out the orders. This type is usually located in light industrial areas, sells a product or performs a service, markets the business during set hours, and employs and manages staff. This can include plumbing businesses, auto shops and supply stores, carpet and furnishing, or any other type of service.
Single operator franchises
This category determines that the franchisee does all the work. This is general selling and supplying products or services. This franchise can be handled from a small office or even at home. The advantage to this type of franchise is flexibility in hours and working conditions.
There are investment franchises that involve a corporation or a group of investors to make an investment in a franchise without actually working in the business. This type is usually a hotel type franchise. To obtain this type of franchise you usually have to have a great deal of money but actual hands-on experience is not necessary.
For the small franchisee, the retail scenario is the best. This is where you purchase a franchise, work in the franchise, and hopefully make money for both yourself and the home office retail establishment. Most fast food entities are retail franchises. To determine what type of franchise you would like to purchase, assess what you want to do and how hands-on you want to be. Also, seek advice from franchise experts, even a franchise attorney to see what a sound business model would be for your scenario. Even ask trusted and close family friends to get their feedback. Many people often see things in you that you may miss seeing in yourself.