Anyone have experience with owning a franchise. Lets say that I want to buy a Subway franchise. About how much start up cash would I need? Or if there are any other franchises that are recommended I would like to know your opinions so I can research this.
ttt for the fabulous one.
A lot of the chains put the franchise info on their website. This is the startup costs pdf for Subway.
thx for the info, and for that link.
Pizza Hut requires 1 mill. Meanwhile, I could spend 50K on starting my own pizzeria.
Franchises just aren't worth it.
It would be better to start your own business.
So Adonis, which franchises do you or did you run? Or did you learn this stuff from the experience of your friends or associates?
Thanks again for the advice.
I worked for a franchise for years while in school. My buddy owns a handful of pizza shops and has made a ton of money over the years. Now he is looking to dump them and do something else because the corporation keeps changing the rules and making it more difficult to make money. I have seen franchises taken away for lame reasons and franchisees lose the rights to territories.
My advice is to go work for a franchise that you are interested in, take their training programs, learn how to run the operation, and then start an independent. I know someone that did that and has more cash than he knows what to do with and doesn't have to answer to anyone. He followed the book called "The Domino Principle" and worked at Dominos to learn, now he is laughing at everybody. His operation is identical to Dominos so when he hires a new manager from a Dominos they can hit the ground running with regards to the computers, invetory, etc.
Last year I met with some corporate yahoos about buying a franchise and not only was I not interested but the people from the corporation were idiots. They didnt even understand basic business concepts, they just wanted my money. These tools were unemployable in a real corporate environment so they have to hide in a pseudo-corp world. I wouldn't jeopardize my financial future with these people who are clueless and cannot lead by example.
In one community near me there is a city of 35,000 people that had 3 Century 21 offices. To maintian exclusivity, they needed to have 25% market share I believe. Nobody had it so the corporation was delighted because they sold 2 more franchises. That doesn't take into account the other C21's in neighboring towns 2-3 miles away which is still in the same market. The funny thing is that now that city has 1 C21 office and they still have less than 25% share. The corporation will tell you that they consolidated, but the former franhise owners are at Realty World and Remax. Get my point?
Do what you feel is best for you just remember nobody really cares if you succeed except you.