Franchise Advice   The purpose of this section is to help a prospective franchisee in becoming aware of the Franchise Industry terms and methods of operation. It is recommended that thorough investigation and professional advice should be sought when entering into any franchise transaction. It is the intention to expand this section of the site over time.   What is franchising?   Franchising can be described in many ways. A common explanation is a method of allowing a company (the franchisor) to grant a licence to another company (the franchisee) to distribute products and services under the franchisor’s trade name and business system.   Main benefits to a franchisee of going for a franchise   Gain from the experience and knowledge systems of the franchisor. Benefit from an established brand name. Franchisee will benefit & profit from his own efforts. A person is more likely to succeed as a franchisee than if started own company.   Financing   It is recommended that you take independent advice concerning the financial investment you have decided to make. Franchises can cost anything between £7,000 and £150,000 with the average around the £40,000 mark. Remember also that there are no guarantees for success.   What business types do franchisees set themselves up as?   Sole Trader   A Sole Trader is an individual who sets up in business, on his own.  He takes full responsibility for the ownership of all company assets and liabilities.  He takes the risk of capital investment and borrowing, but also would receive the profits of the business.   Partnership   A partnership is similar to a Sole Trader.  In that two or more individuals would set up in business, sharing responsibility for the ownership of company assets and liabilities.  They would take the risk of capital investment and borrowing and benefit from the profits of the business.  The business can be set up in such a manner that the equity assets within the business are on an equal or unequal basis.    Limited Company   A limited company is set up for individuals, couples or three or more people whose desire it is to set up a business with limited liability.  The owners are theoretically sheltered from individual liability for debts.  In reality, banks and other lenders May require types of security or guarantees from the shareholders.   Finding the right franchisor   This can be   the most daunting aspect of buying a franchise.  In order that your decision is made from an informed perspective, you should try to find out as much information about franchisor in advance of purchasing the franchise.   In particular, you should check the following:   1. Avoid businesses, claiming that you will get rich quick. 2. Is the franchisor financially stable? 3. As the business been adequately pilot tested? 4. How long has the franchisor been trading? 5. Is the business sector, experiencing growth or saturation? 6. Has the franchisor’s system, something special to offer? 7. What is the level of investment?  Working capital?  Franchisor's fees, going forward? 8. What equipment will be required? 9. How will you raise the finance?  Does the franchisor have contacts with banks? 10. Study the marketing plan. Does it make sense? 11. Can you speak to other franchisees? 12. Review the franchisor's operating budget and cash flow forecast. 13. Is the franchise contract ethical, above board is the franchisor, a member of the BFA? 14. Is the franchise contract drawn up by a British Franchise Association lawyer?  15. What ongoing support is offered by the franchisor? 16. What initial training is offered by the franchisor? 17. What advertising and promotion is offered by the franchisor?   Help to franchisees   This site recognises the prospect franchisee is the lifeblood of growth and investment in the franchise industry.  Hopefully on the site, you will be able to ascertain whether franchise is for you, in addition to avoiding some of the potential pitfalls along the way.   We provide a number of potential franchises for your consideration.   We provide a source list of legal, financial and other types of advisers to assist you in your quest of becoming a franchisee.   This site is user-friendly enabling you to search on the number of options.     Helping you obtain the right franchise    You should be looking for a franchise that offers the following comfort factors.   a franchise that has been in business run number of years . a proven trading system . a franchise agreement , developed by a. B.F.A. approved solicitor a comprehensive training programme an operations manual a trademark B.F.A status shown ask yourself if this is what you want ask yourself if you can do it Help to the business adviser   This site provides assistance to a number of potential business advisers. These include:   Bankers, Company Advisers, Business Developers, Business Link Associate   Service providers can advertise their details on our site.   Advertising & Marketing Animal / Pet Related Car & Transportation Business Services Care Services Children & Teens Cleaning - Commercial Coaching & Development Domestic / House Cleaning Eating & Drinking Electrical Contracting Fashion & Beauty Franchise From Home Hospitality Houses / Real Estate IT Related Leisure & Fitness Love & Dating Picture Frames Printing & Design Retail Services - Home & Garden Specialist Transportation Related Travel Services   View the A-Z directory   Interested in advertising your website?   Relevant category listing.   Complete contact presence (e-mail, web, logo etc...)   Your customised page on the site.   Click here to continue...