The idea is there, but the system is not.
For a business to succeed, a good and novel concept is important. However, a brilliant idea is no good with no proper follow-through and execution. This is where start-ups usually fail.
To reduce the chance of failure, some entrepreneurs opt to just latch on to an already existing business concept with an already tried-and-tested system. In other words, they go the franchising route.
Over the past few years, and particularly during the years of the recession when many—mostly overseas Filipino workers—lost their jobs, the number of franchised businesses in the country soared.
The openness of banks to lend capital to entrepreneurs wanting to go into franchising also paved the way for explosive growth in the sector, franchise guru and Philippine Franchise Association (PFA) chairman emeritus Samie Lim says. Full article.