Arowwai Industries

FRANCHISING
OPPORTUNITIES
B Y : G R O U P 3
B R I N G H O U S E G I R L S
 FRANCHISING

- is a business model that allows individuals (franchisees) to

operate their own businesses using the brand, products, and
services of an established company (franchisor). In this
arrangement, the franchisor grants the franchisee the right to use
their business model, trademark, and support systems in exchange
for an initial fee and ongoing royalties or fees.

FRANCHISING OPPORTUNITIES
- are perfect for those who are looking for the freedom to
run a company, without the added risk. Essentially, it means taking
on the management of an existing company branch,( such as
McDonalds, Subway etc. You buy the rights to run the shop or
facility from your local area.)

LEARN MORE
 PURPOSE OF
EXPLORING FRANCHISE
OPPORTUNITIES

Exploring franchising opportunities involves

researching and evaluating the potential to operate a
business using an established brand and system. It
typically includes assessing the franchisor's track
record, financials, support provided, and
understanding the terms of the franchise agreement.
This process helps determine if the franchise is a
suitable investment for your goals and resources.
Arowwai Industries

TYPES OF FRANCHISING
OPPORTUNITIES
01. Product-Based Franchises:

These franchises focus on selling or distributing specific

products under the franchisor's brand. Examples include
fast-food chains, retail stores, and automotive parts stores.

02. Service-based franchises :

Encompass a wide range of industries, such as home care (like

landscaping, painting or maid services), personal care (including hair
salons, massage studios, or fitness training), business services (like
staffing or career coaching), and many more. These franchises may
cater to either the general public or other businesses.
 01 02 03

Established brand Reduced Risk compared to

Training and Support
and reputation starting from scratch
- To achieve consistent, sustainable -- One of the reasons franchise owners
- It attracts customers and
replication of their brand promise to face lower risk than independent
franchisees.
consumers, and for the franchise business owners is the franchise
- It increases the value of network. Most franchises are owned by
system to be financially successful
franchise. established corporations that have tested
at every level. Training is a major
- It is a differentiator. and proven the business model of the
component of achieving that goal.
franchise in multiple markets.
 CONSIDERATIONS BEFORE INVESTING OR BUYING
FRANCHISE
1. Learn everything you can about
franchising
- You need to learn about franchising and it is highly
recommended to get professional advice before you
sign up to buy a franchise.
3. Identify your financial risks
- Running a business will always come with financial
risks, especially in relation to factors out of your
control, such as competition and the state of the local,
national and even global economy.
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franchise itself during the term of your franchise agreement
and after the agreement ends. Make sure you understand
how this will affect you as a franchisee and after your
agreement ends.
2. Understand the franchise agreement
The franchise agreement is a contract you agree to for a set
amount of time, often five years. It covers exactly where
and how you will run your franchise – and it’s worth
consulting a professional to make sure you understand
your rights and responsibilities under every clause.
4. Understand your territory
As a franchisee, your territory is the area you’re allowed to
serve customers within. You’ll need to know how many
territories the franchisor has, how many are available for
sale, how many are planned for the future, whether other
franchisees can compete within your territory and how
online sales are managed within territories.
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6. Find out if there are ongoing fees
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franchisee) would pay a royalty fee to the franchisor on a
weekly, monthly or yearly basis. You need to know how this
royalty fee works, whether it’s a flat fee or a percentage of
your sales and whether there are separate fees for
advertising and marketing.
STEPS TO BECOMING A FRANCHISEE
1. Application and Approval:

• Research: Start by researching different franchisors and their

business models to find one that aligns with your interests and
goals.
• Contact the Franchisor: Reach out to the franchisor to express
your interest and request an application.
• Application Submission: Complete the franchisor's application
form, providing detailed information about your background,
finances, and business experience.
• Evaluation: The franchisor will review your application to assess
your qualifications and suitability as a franchisee.
• Approval: If your application is approved, you'll receive a
franchise offer and disclosure document. Carefully review the
terms, fees, and obligations before signing.

2. Location and Selection:

• Market Research: Conduct thorough market research to

identify potential locations for your franchise unit. Consider
factors like demographics, competition, and foot traffic.
• Site Visit: Visit potential locations to assess their suitability and
negotiate lease terms if required.
• Franchisor's Approval: Seek approval from the franchisor for
your chosen location to ensure it meets their brand standards.
STEPS TO BECOMING A FRANCHISEE

3. Initial Investments and Financing Options:

• Initial Investment: Calculate the total initial investment

required, which includes franchise fees, leasehold
improvements, equipment, and working capital.
• Financing: Explore financing options such as personal savings,
bank loans, Small Business Administration (SBA) loans, or
franchisor-provided financing programs.
• Business Plan: Create a comprehensive business plan that
outlines your budget, cash flow projections, and repayment
strategies for loans.
• Secure Funding: Secure the necessary funding to cover the
initial investment and operating costs.
 Arowwai Industries

ENCOURAGEMENT TO THE FUTURE TRENDS IN

EXPLORE FRANCHISING FRANCHISING
OPPORTUNITIES: OPPORTUNITIES:

1. To build the lifestyle they want A. Adapting to supply chain disruptions

2. To start a business with less risk B. Increasing role of technology in the
3. To be their own boss industry
4. To build equity
 REFERENCES

https://franchise-logic.com/retail-vs-service-based-franchises-which-option-is-right-for-you/
https://www.theupsstorefranchise.com/blog/Why-Brand-Awareness-is-One-of-the-Most-Important-Advantages-of-
Franchising
https://www.msaworldwide.com/blog/franchise-training-programs-the-
basics/#:~:text=Why%20do%20Franchisors%20Provide%20Training,component%20of%20achieving%20that%20goal.
https://www.nerdwallet.com/article/small-business/advantages-of-franchising
https://www.smallbusiness.wa.gov.au/blog/7-things-investigate-you-buy-franchise
https://www.businessnewsdaily.com/15778-business-franchising-guide.html
https://www.franchiselawsolutions.com/learn/how-to-franchise#steps https://www.dogtopia.com/franchising-
us/blog/what-you-can-expect-from-the-franchise-application-process/ https://blog.simoncre.com/insights/selecting-the-
ideal-location-for-your-franchise
https://www.sparktankfranchisemarketing.com/motivators-for-franchisees/
https://www.linkedin.com/pulse/6-franchise-trends-watch-2023-teri-barber
THANK YOU
G R O U P 3 : B H G I R L S