TIME | CAPITAL | TALENT
TIME
For entrepreneurs, franchising solves the problem of availability of time. Expansion through franchising is rapid than any other resource will allow. It is amongst the most effective ways to cater to the various markets and to increase profitability in lesser time. This also allows brands to gain the first mover advantage in new markets. The speed at which a brand can expand through the franchising route is much faster than it would on its own steam
CAPITAL
Through franchise, brands can open multiple outlets, increase their revenue streams and achieve break-even point faster and realize huge profits. By transferring the entire cost of expansion to franchisees, franchisors incur significant savings in their capital investments as well.
TALENT
In franchising, franchisees become the managers and are motivated by their own profitability. Statistics have proved that in many occasions, franchised outlets outperform the company owned operations. Another advantage of franchising is the kind of efforts which a franchisee puts in developing a franchise brand is much greater than what a professional manager would. Decision making and deployment of resources is also faster which leads to saving them from the hassle of recruiting new people.
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Through franchise, brands can open multiple outlets, increase their revenue streams and achieve break-even point faster and realize huge profits. By transferring the entire cost of expansion to franchisees, franchisors incur significant savings in their capital investments as well.
