There are many great reasons for entrepreneurs to start a home-based business. The flexibility and autonomy alone make home-based business ownership an amazing alternative to working in a workplace. But there are a few things prospective entrepreneurs can sometimes forget to consider.
If you want to work from home while owning your own business, but don’t know where to start, we’re here to help. Here are 3 things you definitely want to consider before making the leap into ownership:
- Understand what makes franchise ownership unique in the business world. Before you become a franchisee, you should know what makes franchising different from other types of business ownership. Unlike starting a business from scratch, franchising gives you the chance to work within an existing, proven framework for the success of your individual business. Once you decide which franchise to invest in and own, you’ll enter into an agreement with an already existing business to run your franchise under that name/brand [i.e. if you purchase a McDonald’s franchise, your store must use the same logos, serve the same food, etc]. You will have to uphold the standards and operating practices of the parent company while you run your business. While a traditional business opportunity requires an investment up front that is often less than a franchising fee and offers more freedom of operation, many entrepreneurs decide franchising is a good fit because it offers structure and a model that works.
- Expect to balance freedom and work. Home-based franchising is great because it gives you the freedom and flexibility to work where you’d like, but you should be prepared to work just as hard as you would in an office. Many people think that by working from home you have lighter hours, but the opposite is often true. You will be solely responsible for the success of your business, and if you don’t put in the hours, you will not be profitable. Since you don’t have a storefront where customers can see your sign and just walk in, you have to work hard–and smart–to market and promote your business. The more prepared you are going into market (and work) creatively, the more likely it is your franchise will not only survive, but thrive.
- Be aware of the skills you have– and what is a challenge for you–as a business owner. Having an acute awareness of your natural talents in business- and the areas where you may need growth or support–will help you run your business effectively. It lays the groundwork for finding a franchising opportunity that you can invest in both financially and emotionally so that you’re happy to be doing the work needed to succeed.
- Make sure you are interested in– and excited about– working in your franchise industry. In order to do the work of owning a home-based franchise, you need to be fueled by excitement and passion for what you do. With more and more opportunities popping up every day, there are a lot of possibilities. A good coach or mentor can help you determine if franchise ownership is right for you, and guide you into a good fit based on your interest, skills, and experience.
- Find out your state regulations. You definitely want to be sure of the legality of owning a home-based franchise in your state before you make a final choice or investment. There may be some restrictions that you might not know.
- Determine your level of investment (and make a plan). If you’ve gotten legal answers–and are confident about the industry you want to enter–a good next step is to figure out how much money you want to put down as an investment. Some bigger-name franchises may require a greater investment, so you’ll need to build in time to save the funds to make your investment sound. There are a variety of investment levels available, depending on your budget and your desired industry/field.
These are only a few of the things that you should research while you are deciding which franchise you want to own, but they are some sure-footed steps on the journey successful franchise ownership.
Which of these steps do you need to undertake in the franchise ownership process, and how can we help?