Best franchise to own in 2021
A franchise business is a kind of venture where the owner (franchisor) grants the operations, procedures, knowledge, methodologies and the brand to another individual or party In exchange for an amount known as the franchise fee. Well, in simple terms, a franchise business is an already established venture transferred to another individual for him to carry out commercial business activities. Franchising is a great manner to grow and evolve your business. Franchising has succeeded in almost all industries be it food, travel, retail, beauty, fitness, automotive, etc.
But how will one know that their business can be successfully operated into a number of franchises?
Here is the answer to this:-►
●Firstly, the line of business should be expandable.
●Secondly, there should be demand for the product and services, the business is bringing forth in the market.
●And thirdly, the franchise strategy should be lucrative.
Before going for a franchise business one must keep certain things in mind. Here are some of the important elements to consider before buying a franchise:-
1.Finance- Before purchasing a franchise, one needs to figure out the expenditure part thoroughly. The overhead expenses, operational costs, etc everything needs to be looked upon to understand the requirement of finance better.
2. Market- Nowadays, every other brand has its operational franchise. So before purchasing a franchise, one must consider all the latest franchise opportunities available and among all the ones available, pick the best and decide whether it is worth your time, investment and energy.
3. Competition- Competition is the key element of any business undertaking. Understanding the market position, competitive strategies, customer's needs, comparing different brands is crucial for selecting the right brand to invest in.
Independent business or Franchise! Which is Better?
When we talk about an independent business or a franchise, both have its own advantages, disadvantages, requirements and criteria. People who own independent businesses are likely to have more investment costs as compared to the one owning a franchise, because of the costs incurred in operations and setting up a business all by oneself. Franchise will have the advantage of operating under a well-recognised brand name unlike the independent business owner, who firstly has to work for establishing his brand name in the market and then has to make it a well known business in terms of its products and services.
Another comfort franchise provides is that there is not much importance given to industry experience. Even buyers who lack prior business experience or professional skills are welcome to the ownership of the franchise. Franchisors provide a platform to the newly entered business enthusiasts to learn, explore and work through employing and taking help of the franchisor's procedures and skill sets.
Challenges in Franchise Business
While franchising business can be worth exploring it also accompanies with itself certain challenges-
*To find the right one among the pool of franchisees- As we all know, quality is better than quantity. So as one enters into the market he will find a pool of franchise companies. But in order to find the best and the most successful franchise one must search and select properly so that the investment made, bears fruitful results.
*Hire right people for the right role- The entrepreneur should thoroughly scrutinize the strong and weak points of the interested candidates so that the right person is considered for the right role which will thereby lead to the company's success and growth.
*Arrangement of finance- Financing is the most important aspect of any business organisation. Arrangement of finance is the biggest challenge here as money is required to deal with the startup costs, training to the employees, franchise fees, etc. A good sum of money is also required for hiring experts and mentors to take the business to greater heights.
According to reports, the Indian Franchise Industry will be worth USD 100 billion by 2024. And, India stands second when we talk about the franchise market globally. The franchising industry has a lot more potential in the coming years. The industry is still in its developing stage in India, thus attracting more and more entrepreneurs and creative minds and because of this fact, the continuous advancement of the franchise industry is generating more and more opportunities for the young entrepreneurs and business fanatics!
1.Grocery Store Franchise- Grocery stores are stores and shops involved in retailing a range of fresh or packaged food products. When thinking of buying a grocery or a retail franchise outlet in India, one must keep in mind the location factor. Detailed research needs to be done to find a grocery store that is the most convenient to you and whether franchise opportunities are available for that particular store or not. One can even go for food mart or convenience stores as these stores are always available with products instantly required by the customers. Also, there is less risk of failure if anyone considers to buy a grocery store franchise.
2. Online Education Franchise- Online means of education has seen a drastic growth with the corona pandemic that took place last year. The schools and colleges that had been shut down since almost a year, let the students adapt to the online means of learning and study. Be it conducting class digitally or the increase in the need of online tutors and educators, the digital education market witnessed a massive increase in the curve.
Be it online coaching regarding a particular subject, personality development or grooming classes, preparation for competitive exams, every kind of learning is available online now. According to reports, the digital education market in India will exceed by a big number by this year. Hence it is safe to say that one can without doubt, think of investing in purchase of an education franchise.
3.Pharmacy Franchise- With the arrival of the covid-19 pandemic, there has been an increase in the number of medicine stores and pharmacies everywhere. Pharmacy is a kind of a business which is ever-increasing. Various pharmacies readily provide franchises even if the person doesn't have a drug licence. Some of them include- Medlife and 1mg.
4. Cloud Kitchen- In simple language, cloud kitchens are centralised space for food preparation where restaurants rent space to prepare online food delivery items. It is a place where food is prepared and then delivered at the desired location by taking orders through calls.
Cloud kitchen is basically a production space for food preparation. Cloud kitchen doesn't provide a dining service to its customers but is only a kind of kitchen setup. It can engage in different brands while working in a single space kitchen. The most important benefit of cloud kitchen is that it lets you enjoy the advantages of "distributed cooking". The kitchen can be expanded easily and also has lower operation costs.
Whether running an independent business or a franchise, hiring staff or providing them training, everything requires proper research and planning. So one must consider the infrastructure, cost structure, business model, organisational design, etc before investing in any business in order to get the best out of it !
For more exciting franchise-related information and the best franchise opportunities in India, kindly register at https://www.franchisebazar.com/entrepreneur-registration and for further help give us a call on +91-9844443200
Written By: Yukta Palekar
Written By: Resham Daswani
Written By: Yukta Palekar
Written By: Divisha Pandey