Small businesses are having a tough time competing for the few customers out there against brand name stores. Their choices to compete can range from getting a business loan option to stay afloat during difficult times, closing their doors, or converting to a franchise. By converting to a franchise, they in essence stop fighting the competition and join them, thus reaping the benefits of instant name recognition in the marketplace that can double their sales overnight.
Can Be Costly
Buying franchise rights is not cheap, however if the alternative is closing a business you love, it could end up being priceless. Every business owner has to weigh the pros and cons and decide if they can hold out a little longer while the economy recovers or whether they want to convert as soon as possible. Be aware that you will be required to sign a long-term contract to carry that name for years. You will also be required to hand over a large purchase price and weekly finance fees.
Can Be Quick
Once the decision is made, however, the amount of time to convert can be very quick. It depends on whether your business dovetails well with the new franchise you've selected, but in some cases like convenience stores, the change can be done in one night once you've signed up. If your business is struggling to compete against better known companies, it may not be your store that is the problem, but the marketing of that store. By choosing to convert to a franchise, you can get the needed exposure to attract more customers and do a better business almost instantly. You gain leverage from partnering with businesses who have already done a lot to promote their franchisees and their name brand logos and trademarks that can be worth every penny you spend to get franchise rights.