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best franchise opportunities to own in Philadelphia

Best Franchise Opportunities

The best franchise opportunities come in many different sizes and shapes.  There certainly isn’t a one-size-fits-all.   However, if you will kindly join me,  I will walk you through the process of elimination to find the best franchise opportunity.

Your first inclination may be to find the franchise that has the best ROI.   If so, you are not alone; most of us desire a franchise with growth and wealth opportunities.

However, as you start your journey of finding the best franchise, you will also want to support future development from your franchisor.  

Finding the Best Franchise  Opportunities Through Validation

Asking the franchisor about support and development is a good idea, but it is not the final answer.  It is better to ask the existing franchisees with different tenures their experience.   Asking questions such as,  “How has your franchisor helped you grow your business through customer retention plans, SEO, and improved hiring practices?” will give you accurate insight. 

The number one reason to buy a franchise is to avoid the inevitable mistakes that happen to all businesses when they go it alone.   An experienced franchise has gone through University Hard Knocks, saving you time and money.  

I would not consider buying a franchise with no cooperated stores or less than five years of experience in the industry.

Ongoing Franchise Fees Ouch!

How about low franchise fees and royalties?  Low start-up costs and royalties allow you to keep more of your own money.  People looking to buy a franchise often look at the industry and the start-up cost.  However, if you investigate a home-service franchise, such as painting and handyman, there are vast differences in ongoing fees.  The ongoing fees of two different franchises grossing the same amount of money can be drastic. 

Information was taken from each franchise’s FDD.   It shows four handyman franchises, each grossing $700,000 per year.  

This chart explains that in order to find the best franchise opportunity you need to compare start-up costs

To find the best franchise opportunity, you must request a current copy of the Franchise Agreement.  You can find ongoing expenses and start-up costs in Item 6 and Item 7 of the Franchise Agreement.  

                    A True Franchises Opportunities Should Bring Joy and Self Fulfilment

Happiness and improved self-esteem are part of the discovery process for finding the best franchise.   

A truly best franchise opportunity allows you to have peace of mind or a sense of being in control.  There are two necessary components for this to occur.  First, you need a franchise to have systems and processes that are easy to follow and scalable.  Secondly, the franchisee needs to follow the procedure

Peace of Mind Is Often Overlooked

Alex Mironov is Klappenberger & Son longest tenure franchisee.  In his fifth year with Klappenberger & Son, he recorded this on a Caribbean Island in January 2022.

“Hi, Guys, Alex Mironov here.  I own and operate Klappenberger & Son in Montgomery County.  As a business owner, I just wanted to tell you that you can run your business any way you want.  You can steer it towards more revenue or bigger margins.  It’s up to you.  The ultimate measure is your level of happiness.  I want to say that I am very happy with what I have been achieving with Klappenberger & Son.  My goal is for my family to spend every holiday season out in the Caribbean, where it is warm and nice.  I want to see my kids running in the sand and swimming in warm water in the Caribbean Sea, and I have achieved that.  That makes me very happy, and it has contributed to my self-esteem.  So, good luck.”

Questions To Finding The Best Franchise Opportunities

#1 What amount of liquid capital do you have in increments of $50,000?  Liquid capital would include investments that could be transferred into cash with or without penalty.

#2 What is your credit score?  If your credit score is below 700, you are probably to franchises under $50,000.

#3 Do you want a home-based business or a brick-and-mortar store?  The former will have higher ongoing fees and additional uncontrollable circumstances.  For example, major road construction can inhibit traffic to a storefront.

#4.  Do you want a scalable business or something small where you are the primary worker?

#5.  Do you want the customer to come to you, or do you want to go to the customer?  The ladder is more scalable.  Why you can control where you are willing to work, but you cannot control if the customer is ready to drive to you.

 

You Are Making Progress!

 

Whether you decided to go brick-and-mortar or a business you can run remotely you have cut the lists dramatically. 

What industries are left?  

Of the industries left,  pick three that interest you the most.

Which franchise in each of those three industries piques your interest?

Call five franchisees from each of the three remaining franchises.  

And ask the following questions:

How many hours a week do you work at the franchise?

Would you recommend this franchise to a family member?

Is the franchisor honorable?  Does he earn his royalties?

What are your margins?

What is your biggest obstacle? 

Would you buy the franchise if you had it to do over again?

To find the best franchise, you will need to call five people from each franchise.  Why?  Because every franchise has a bell curve of poor, average, and excellent franchisees.

 By his point, you are 

#6.  Check with the franchisees about training, support, and ongoing development.

#7.  Compare start-up costs and ongoing fees in the same industry.

Final Thoughts

Whether you are looking for the best franchise opportunity in Dallas, Texas, or Elizebeth, New Jersey, the process is the same.

Start with asking the big questions, interview franchisees, and compare similar franchises FDD’s.  It takes some time and effort but finding the best franchise for you is one of the most important decisions you can make. 

Good Luck!