Deciding Between Business Opportunities: Franchise or Start Up
If you’re looking for new business opportunities, there are many possible avenues you can take. For example, are you eager to carve out your own path in a particular industry, or would you rather follow a well-established path to success?
Franchises and start-ups are two models that enable you to be your own boss. However, there are distinct differences that may appeal to you more or less based on your skillset, interests, financial situation, and the level of control you wish to have.
Let’s dive into some of the advantages and disadvantages of these approaches.
The Pros and Cons of These Business Opportunities
One of the most enticing aspects of launching a startup is that you’re truly starting from the ground up. You dictate everything from the name and logo to the product or service to the business structure. Your startup is your vision, which makes this an appealing path if you’re a creative entrepreneur with a clear vision.
Unfortunately, with this freedom comes a great deal of uncertainty — and endless logistics. Carving out your own path means fine-tuning your idea, securing the necessary funding, finding the right partners and suppliers, and establishing a client base, among other challenges. This process requires time, money, and a bottomless well of determination and drive.
If you succeed, running your own startup can be financially and personally fulfilling. However, even after all the effort you put in, statistics from the U.S. Bureau of Labor Statistics indicate that more than 20% of startups fail within their first year of business, and approximately 50% within five.
By contrast, investing in a franchise means buying into an established business. The product, market, supply chain, and systems are already in place, so you can hit the ground running as a business owner. You can skip many of the most challenging and time-consuming aspects of starting a business, while enjoying a higher likelihood of success.
As a franchise owner, you’ll receive support from your franchisor in setting up your physical location. You’ll also benefit from their established relationships with suppliers and can generally save money on products through the buying power and backing of your national brand. In addition, your franchisor can also be an ongoing resource as you hire and train staff and build your customer base.
When you work with a franchise, you will likely need to pay a licensing fee and ongoing royalties. And while you can dictate the day-to-day management of your business, you will still need to work within the franchise’s existing framework to provide a consistent customer experience and remain in line with brand standards for marketing and business efforts.
Both business opportunities, start ups and franchising, boast considerable advantages for entrepreneurs. The question is what kind of business owner do you want to be?
Learn How Visiting Angels Supports Franchisees
If you’re drawn to franchising as a business opportunity, the next step is to choose a successful franchise in a promising industry. Visiting Angels® is a nationally recognized home care brand in a field that continues to grow from year to year.
For more than 30 years, we have been supporting families across the country as they strive to make aging in place a reality for their loved ones. We are proud to offer a variety of home care services ranging from companion care to dementia care to palliative care. If you are looking for a business opportunity that will bring personal fulfillment along with financial success, our home care franchise is a strong contender for your attention.
To learn more about exciting business opportunities with Visiting Angels, you can request details online or give us a call at 800-365-4189.