Franchise Genesis represents both emerging and established franchise brands from all industries, including but not limited to Service, Retail, Food, and more! Working with a newer emerging franchise system has immense benefits. You have wide-open territories and often get to work directly with the owners and founders who are invested in your success.
How to Evaluate a Franchise Opportunity
Buying a franchise is one of the best ways to start a small business with a business model and brand ready to go. Franchise Genesis represents both emerging and established franchise brands from all industries, including (but not limited to) Service, Retail, Food, Fitness, and more! Become one of the founding franchises in a new and emerging franchise, or connect with a franchise growing in your territory today.
When buying a franchise you work directly with the brand owners and founders who are invested in your success. Our franchise partners provide excellent franchisee support and are ready to expand with your help. If you are ready to become a franchisee for a rewarding and established brand, explore the franchise opportunities through our partners today and start the evaluation process to find the perfect fit.
Minimum Investments Required
Getting started with a franchise always requires a minimum investment. Every startup has an investment cost, and with franchises, it is far easier to predict what that cost will be and compare it to your available funds. Minimum investment requirements include the initial franchise license fee and the cost of your starting location, equipment, staff, and supplies.
The investment required depends on the franchise and the size of your first venue. As a result, the minimum investment can easily fall within the range of $50,000 to $500,000. It is recommended to have at least $50,000 ready to invest up-front.
Franchise Fees and Royalties
Franchisors charge franchisees fees and royalties for granting them the rights to use the brand name and providing them support. It all starts with the Initial Franchise Fee, but there might be additional fees for training, grand opening support, and initial equipment packages. In addition, franchisors charge a monthly or weekly Royalty fee. This is usually a percentage of Gross Revenue or Sales. It is up to you to decide what kind of Initial Fees and Royalties you feel comfortable with and you think might provide you with the right kind of earnings potential.
Support from the Franchisor
A great franchise opportunity is one where the franchisor offers abundant support. Training, resources, guides, and even advice when you hit a rough patch can make a difference, transforming a simple business arrangement into a partnership. They may have a support program or an online resource center for easy answers and guides. As the franchise network grows, you may also experience franchisor support through your fellow franchisees’ experiences and shared systems.
Available Territories
One of the reasons to seek an emerging franchise opportunity is the available territories. Franchises typically limit where franchisees can set up to distribute demand for their brand and products properly. At the same time, franchisees naturally seek a territory close to home. The more territories are available with your franchisor, the better you can position your store and potentially open more than one location under the franchise within a comfortable drive from home.
Brand Recognition and Growth
Finally, you’ll want to evaluate the current local brand recognition and potential for growth. If your franchisor is currently drawing business from nearby towns, there is room to grow by providing customers with their favorite brand location a little closer to home. Compare the franchisor’s growth alongside the success of any franchisees that are already part of their network. Smaller franchise opportunities can be very rewarding, provided the company has been growing.
Choosing a Profitable Franchise: How Much Money Will I Make?
Estimating the profitability of any business takes time and care. When choosing the best franchise, you will be able to speak with other successful franchisees for validation of the model, training and support.
Start by examining the Financial Performance Representations (FPRs) in Item 19* of the franchise in the Franchise Disclosure Document (FDD). This section of the FDD provides insight into the revenue, expenses, and profits of current franchisees.
Look at existing franchisees’ performance over the first year and the first ten (or maximum available) years of operation. Look at product sales, other income, and expected expenses like payroll, rent, and materials.
Revenue Does Not Equal Profit
If this is your first business, it is important to realize that revenue does not necessarily equal profits. Revenue is your total income, the amount of money attained in a given period. Profits are what is left of the revenue after expenses. Therefore, a profitable franchise needs excellent revenue and an efficient and practical balance of revenue to costs to make a profit.
Find a Profitable Franchise Opportunity Today!
Starting a franchise is a rewarding and shared experience. Whether you are looking into your first franchise opportunity or are building a network of business locations over several brands, Franchise Genesis is here to help. As a professional franchise consulting team, we also make it our business to ensure that every brand we partner with offers profitable, rewarding, and well-supported franchise programs for their franchisees.
Discover franchise opportunities through Franchise Genesis today. Contact us for a consultation on the best franchise opportunity for your plans, location, and finances.
FEATURED CLIENT
Our Clubs offer a robust and full spectrum of classes, workout machines, and stations. Not only do we offer all the fitness options anyone could want, VP Fitness also provides premium amenities, including saunas, massages, a “drop-off” dry cleaning/laundry, and much, much more. If a client has a busy schedule, they can grab a private training session, catered to their body and fitness goals. These “extras” distinguish VP Fitness and place it in a category of its own, beyond the competition.