The recommendation for a person whether it is best to franchise or not is a case

to case basis. It is best evidenced on what our Franchise Business and one of its
Franchisee did. The one who franchise the Max’s San Mateo is Mr. Rufino Javier.
Patty Javier is the current Franchisee of the said restaurant. The Family
background of the Franchisees is being in the Banking Industry. They own and
operate several Banking Institutions so in this matter we therefore conclude that
their expertise is in the banking rather than being in a line Food or Restaurant
Business. In the case of Max’s San Mateo, their franchisee is considered a Passive
owner because the franchisee hires a managers and supervisor to operate the
business.

The first reason why they try to take this chance to Franchise the Max’s
restaurant is more on the opportunity to have passive income. They produce so
much money so it is better for them to invest in something that can earn profit.
Before Max’s franchise in San Mateo established, the closest Max’s Restaurant is
in Cubao, so customers here in San Mateo and Marikina need to go to Cubao just
to visit and eat in Max’s. It is so inconvenient for them to travel that far so the
Franchisee is smart enough to grab the opportunity to established the business as
well as give the wants of the consumer. Second reason is because the franchisees
have so friends that influence them to pursue the business. Most of their friends
are customers of the Max’s.

In short, if the person has the no capacity to create and facilitate a new business
and his primary purpose is to earn profit with high success meaning the person is
not a risk-taker, it is better for him/her to franchise a business which already
running like what the franchisee did. Franchise shares the opportunity to help
other people to start a business with a security that they can create true wealth.
 Franchising:

Recommendations and Conclusions

Name: Jaime II D. Lustado

Year&Section: BSA-4A