So you want to own a franchise. It is a great way to be your boss, but without having to create everything from scratch for yourself. Your success though not only depends on which particular franchise you decide to join, but also the type of franchise.
There are a lot more of them than you probably realize. Types of franchises included everything from gyms to auto shops. Food franchises, however, are probable the most popular.
The food franchises you are probably most used to seeing are:
- Fast Food Franchises. Think McDonald’s and Wendy’s. These food franchises focus on giving quick service with most foods premade.
- Fast Casual Franchises. With these types of food franchises, customers can expect a little higher quality of food and service. The menus tend to be larger and typically some sort of limited table service is offered. You still order from a counter though.
- Full Service Franchises. These franchises are like all full service restaurants. Customers will get the full dining experience where they are seated at a table and are offered a full range of food and drink options that are all freshly made.
Consider these benefits of starting a food franchise over other franchises:
Better Brand Recognition
When you think of franchises, most likely the names that pop into your head are all food franchises. This brand recognition can really benefit your franchise when starting out. You get to benefit from a built-in customer base and a strong reputation that usually takes years to build up when you are doing it all on your own.
When customers choose to eat at a food franchise instead of an original restaurant or café, it is because they don’t want any surprises. They want to buy products that they know they will like. A sense of familiarity is very attractive to a lot of people. They appreciate knowing what it expect from the types of food, quality of service as well as hours of operation and layout design.
People Will Always Need to Eat
A big reason why food franchises are so successful is that because people will always need to eat. When there is a recession and people are watching what they spend, they will usually still once every week or every two weeks go out to eat. People generally don’t feel as guilt about buying themselves food than they will other types of products.
Very Thorough Training
Another benefit with choosing a food franchise is that most of them offer you in-depth training to help run a successful franchise unit. This is especially important if you are a first-time business owner. You will get training on how to run the food franchise, how hire employees and even help with advertising and marketing. Most also offer you continuous support even after you are up and running. They have advisors available who can help you when big issues pop up.
You Are Not Alone
Probably the best thing about choosing a food franchise is that you are not jumping into the business world all alone. You will have plenty of tools and resources at your disposal to help you not only be as prepared as you possible can going into it all, but to also help you get through any bumps in the road you might experience.
It is important to pick a food franchisor who is really invested in your success. That way you can feel confident that they will do their best to help you be as successful as possible.
Most food franchisors will offer you:
- Operating systems and manuals
- Site selection and design
- Marketing and advertising plans, include grand opening campaign
- Equipment and supply costs.
You Can Take Advantage of the Food Truck Craze
One popular type of food franchise are food trucks. They are a great opportunity especially for people new to running a business. Generally, they are require a smaller initial investment than a franchise with a physical location and you won’t need to hire as many employees at least at first.
Another great thing about the food truck industry is that there are so many different ways you can attract customers. People around the country are choosing food trucks for their special events everything from birthday parties and picnics to weddings. Today’s market is great for the food truck industry.
No matter which type of food franchise you decide to do, you need to make sure you save up enough money to make your dreams a reality. Here are some tips:
- Know exactly how much you need to save. Initial startup costs and financial requirements for franchises can vary from $10,000 to a couple of million so it is important know exactly what your goal is first.
- Switch to a bank with a better incentives. Higher interest rates on your savings account, no ATM or overdraft fees are all small ways to save more money. It might not seem like a lot at first, but you will be surprised by how much money can be frittered away with bank fees.
- Set aside a certain amount from each paycheck. Make sticking to a budget easier for yourself, by having a certain amount of money from each paycheck put right into your savings account. We all know how easy it is to let coffees and lunches and dinners out can fritter away our money before we have a chance to save anything. This way there are no excuses.
- Check your accounts daily. With credit/debit cards, it can be hard to keep track of how much you are actually spending. If you are swiping that card several times a day, it is having a big impact on your bottom line. By checking it daily, you can see if you are going over budget as well as make sure there aren’t any unexpected charges on there.
- Use cash as much as possible. While having a credit history is important, using cash for most of your daily purchases can go a long way to helping you save more money for your franchise. Each week, calculate how much spending money you have and take the cash out of the bank. You will not only save on ATM fees, you will not overspend because once the cash is gone you know you can’t spend anymore. Use envelopes to separate out food shopping money from gas money from I really need that cappuccino money.
For more information about food franchises, especially food trucks, call Zac’s Burgers today.