With an estimated value of £15 billion, franchising has become a massive success in the UK. Investing in a franchise is far less risky than starting a business from scratch. There are a variety of franchise sectors to choose from and there is even the possibility of taking over an existing franchise, known as a resale. In this blog, we explore the benefits of resales and whether this type of business model could be an ideal investment for you.
Purchasing a resale means that you have agreed to take on an active franchise in a particular territory. This type of business comes with a whole host of benefits, such as existing clients, a high level of sales and a functioning marketing plan. The seller will have key links with the local community and there is ample opportunity to develop these connections even further. Some resale opportunities can be managed part-time or from home, so this gives you more flexibility to manage all your commitments. In addition, many franchisors offer a high level of training and support so experience is not always required.
There are many reasons why a franchisee decides to sell their business. They could be ill, moving away or may wish to focus on another territory. Perhaps they are looking for a change of lifestyle or reached retirement age and want to spend more time with family and friends. It could be that the business is not performing well, but that can change in the hands of a new owner. Whatever the circumstances, this is an excellent way of entering the franchise industry.
One advantage of taking on an existing business is that you get a much clearer idea of how it is performing. You can ask what the current turnover is, how many employees they have, what trends they have observed in the business and anything that they think can be improved. Taking a look at the books will tell you all you need to know about sales performance. The main thing to ask yourself is whether you can grow the business and take it in a new direction. If you think you have the right experience and skills, this could be a profitable investment opportunity.
Why not take a look at the resale opportunities on franchisedirect.co.uk? We currently have resales available in coffee, cleaning, gardening and so much more.