There are many advantages to franchising a business and some of these are listed as follows:
- Quick market penetration. More service channels means that the business can penetrate more of the market in a shorter period of time.
- Franchising through a franchise agreement can help retain control of all the businesses
- The franchise means that an identical business format can be offered which is tried and tested and therefore it offers a greater chance of success
- A source of income the franchisee can pay a licence fee for a fixed period and fees for support and marketing.
If you are considering offering a franchise of your business, then a lot of planning and preparation goes into the procedure. Often a pilot operation is developed to test it out. If it is successful, then it will become more attractive to potential franchisees.
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