You Want to Open a Franchise, but Which is Best for an Amateur?
If you've never owned a business before but are charmed by the idea of opening a franchise, you might be wondering about the best 'starter franchise' opportunities. Usually, this question translates into, "Which franchise is the easiest to own?" Unfortunately, the answer will be different depending
on your skill level, experience, location and preferences.
First and foremost, you should never open a franchise at all if it isn't something you care about. If you hate pizza, but open a pizza franchise, you'll probably be miserable. You won't be able to recommend your favorite pies to customers who ask, and the smell of pizza every day will turn you green around the gills. So which is the best starter franchise for you? It depends.
There really are no 'easy' franchises to start, even for an experienced entrepreneur, because they each come with their own challenges. For example, an ice cream shop might have fewer products to deal with than a burger joint, but you might have to hire a cake designer or other professional for the ice cream shop, whereas the burger joint would require only employees and management.
Entrepreneur magazine's Jeff Elgin recommends gaining employment at a starter franchise you are considering for the future. Work as a shift leader or cook or cashier so you get a feel for how the business operates. If you can tolerate the atmosphere for eight-hour shifts as an employee, chances are you'd have fun running your own franchise down the line. If, however, you're miserable every time you get up for work, you might explore other opportunities.
Generally speaking, however, good starter franchises are those that require a minimum of training. If you have to spend six months learning the business, that's half a year without a paycheck, which can seriously deplete your financial reserves. A franchise such as a fast-food restaurant or ice cream parlor or coffee shop might be the best way to go until you get your feet wet. Later, you can branch out into other areas of commerce.
First and foremost, you should never open a franchise at all if it isn't something you care about. If you hate pizza, but open a pizza franchise, you'll probably be miserable. You won't be able to recommend your favorite pies to customers who ask, and the smell of pizza every day will turn you green around the gills. So which is the best starter franchise for you? It depends.
There really are no 'easy' franchises to start, even for an experienced entrepreneur, because they each come with their own challenges. For example, an ice cream shop might have fewer products to deal with than a burger joint, but you might have to hire a cake designer or other professional for the ice cream shop, whereas the burger joint would require only employees and management.
Entrepreneur magazine's Jeff Elgin recommends gaining employment at a starter franchise you are considering for the future. Work as a shift leader or cook or cashier so you get a feel for how the business operates. If you can tolerate the atmosphere for eight-hour shifts as an employee, chances are you'd have fun running your own franchise down the line. If, however, you're miserable every time you get up for work, you might explore other opportunities.
Generally speaking, however, good starter franchises are those that require a minimum of training. If you have to spend six months learning the business, that's half a year without a paycheck, which can seriously deplete your financial reserves. A franchise such as a fast-food restaurant or ice cream parlor or coffee shop might be the best way to go until you get your feet wet. Later, you can branch out into other areas of commerce.
