Our own Tom Wells is quoted alongside Kevin O’Leary in a Forbes article on the benefits of franchising as a business model. In this piece, Tom shares: “Franchising helps founding entrepreneurs scale their businesses without having to manage each location although they have to give up some control.
“According to FranNet, several studies have shown that more than 90% of start-ups fail within the first three years. Franchises, however, already have a proven model, brand recognition, operational backing, and marketing support that make the risk of failure much lower.
“Franchisees likely may have higher profit margins [than independent competitors] because they have a franchisor constantly looking at ways to make franchisees more profitable and marketing on their behalf. Ultimately, if franchisees don’t make money, neither does the franchisor.”
Continue reading on Forbes.com