Franchising Is The Silver Lining

Franchising.net.au:

Today’s global financial crisis has brought dark clouds of uncertainty. This could make the thought of owning a business very scary, especially when you have a look around and all see you see in the media is property and stock going down and job security at an all time low. While this may all be true, when you look at all the facts you soon discover that there is a silver lining to the dark clouds. The question is, what is that silver lining?

Franchising, of course! How do I know this? Well I can share my first-hand experience as a franchisee. Currently my stocks and super funds are down by approximately 30 per cent but my franchise business continues to give great cash-flow and a return on investment of 20 per cent. The reason why I am getting a return from franchising is that franchising as a business format over traditional business has always been proven to weather the storm when it comes to economic crisis.

According to the last American Small Business Administration report, 85 per cent of start-ups fail within the first five years. In comparison, only about 20 per cent of franchises fail within the same period. Read more.

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