Tuesday, March 31, 2009
Is Now A Good Time to Start a Franchise?
The basics for starting a business remain the same in good and bad times. Despite the current economic climate, over 40% of retail sales are still spent at franchises. There's still money to be made if you do your homework and stick to the sound advice of franchise lawyers and other professionals who can you make sure you are meeting your objectives. You could lose your shirt with a franchise as you could any business if you do not consider basics such as making sure that you are not undercapitalized. Running out of money is a common reason why some franchises do not do well. But the current economic climate is not an automatic reason to not consider a franchise. Owning your own business provides some degree of self-reliance and relief that one is not totally dependent on an employer for a livelihood. There is also a large available labor pool given the number of layoffs. You may have access to talent not previously available. Just because conventional sources of credit might not be available, you can consider self financing , family, friends or investors.