Owning a franchise provides freedom to be your own boss as well as work your…
It’s natural to have concerns about purchasing a low-cost franchise such as a Signarama franchise. After all, it’s a significant investment and you want to avoid any unnecessary risks.
Many of the concerns people have about this type of purchase, however, are vastly overblown. Here is a look at some of the more common myths about low-cost franchises.
1) You Can’t Be Creative
One of the most pernicious myths about owning a low-cost franchise is that your business creativity is going to be stifled by the parent company. This is simply not the case. It’s true that some aspects of the business, such as the basic framework, are set by the franchisor.
That being said, you will have a great deal of input when it comes to marketing and promoting the business. This is where your creativity comes into play, and where your original ideas can be a driving force in the profitability of the franchise.
2) You Have to Purchase Outright
Another common concern of many people looking to own a franchise is that they can’t afford it. This is not necessarily true, especially if you want to purchase a low-cost single unit business. A range of financing options is available for those unable to purchase a franchise with cash.
- Bank Loans – You can apply at your local bank or credit union for financing. If your credit rating is good and your business plan is well designed, you have a strong chance of getting the loan.
- Small Business Association – The Small Business Association, or SBA, provides loans that are partially backed by the U.S. government. You will pay the loan back with the profits from your franchise.
- Internal Financing – Some franchise companies support their franchise with financing assistance. This often involves deferring a portion of the franchise fee.
- Patriot Express – If you are a veteran, you may qualify for a program called Patriot Express. It offers low-interest business loans for veterans and their families.
3) You Must Have Previous Experience
You may have heard that you need previous experience in the field to thrive as a franchise owner. This is also a myth.
The franchise company will typically give you a wide variety of materials, both written and in video form, that will allow you to learn all you need to know about the specific field, such as sign franchising, and the steps you need to take to become a thriving business owner.
4) You Can’t Make Money with a Low-Cost Franchise
Some potential franchise owners might have heard that only the most expensive franchise options are likely to be profitable. But this is yet another myth that you can safely ignore. As long as you operate your low-cost franchise using sound business principles, your chances of profitability are high.
Purchasing a low-cost franchise is a great opportunity for those looking to operate their own business. Don’t let any of the above myths stop you from taking advantage of this excellent business model. Contact us today to find out how you can franchise with this thriving industry.