Many years ago in my career I had founded and run a series of automotive service franchising companies. I started with mobile car washing, truck washing, and mobile oil change services. Business was good, as we are a nation of cars. Today, we still are, cars, cars, cars, everywhere; Gasoline Cars, Electric Cars, and soon Flying Cars and Hydrogen Powered Vehicles too. Not long ago, I was asked by an entrepreneur if I thought that a mobile oil change franchising company was still a viable company to start in the present period? I put a little thought into this and considered all the future challenges and opportunities. Let’s talk shall we?
Okay so, is this a feasible business model today and into the near future (five to ten years)? Yes, I believe so, mobile auto-services tend to do well, and there are many who are looking to start a small business with the new Trump Administration. Reciprocating engines are not going away, and even EVs need battery conditioning services, lubrication for wheels, etc. Hydrogen cars also have moving parts, air-filters, heat shields, etc. Tires will still need car, balancing, and rotating.
What sort of service vehicle is needed for the franchisees doing the work and servicing the vehicles? Should one use a truck, trailer, or van? Well, vans tend to do well with mobile oil-change, and the fleet business is the best of all, and sometimes it means a trailer is needed for extra storage tanks for new oil and used oil, and parts; belts, windshield wipers, oil filters, air cleaners, etc. Working in low-hanging parking structures can be a tough thing to worry about, so sometimes trucks are not the best option, and some vans are too tall, for instance the Sprinter Van, which is roomy but too tall for parking structures.
One great benefit today that we didn’t have back in the nineties is easy use mobile-pay and easy internet ordering efficiencies, which makes it possible to stay efficient even doing one’s and two’s for individual cars. Of course, in the future Self-driving cars may drive themselves to get an oil change, or they can drive to the franchisee in the middle of the night for a discount, and the service vehicle can make that work perhaps by renting an auto parking lot at night. I think there are lots of good things about this industry looking forward. Please consider all this and think on it.
When it comes to travel agencies, you have a few options available to you. If you love travel and have always dreamed of a travel agency franchise being the right choice for you, then you may want to know the benefits so that you can identify the right options for you to ensure you achieve success and enjoy a successful business operation moving forward.
The first benefit to choosing a franchise for a travel agency is that they already have all the essential technology in place. Think about it, when you want to start your own travel business, you are going to need a brand name, you will need to have software where you can manage your bookings, your deals and keep it updated and so much more. This software can be expensive if you have to have it custom developed for your unique needs. When it comes to buying a travel agency franchise, the technology is already there, all you have to do is install it onto your computer systems and start using it without delay.
Another benefit to this option is the marketing that you get to help you. With a franchise, the holding company will promote your business on your behalf, which means the brand is already visible the day you start your business. As you can imagine, you can’t get any better than that. You open your website for the first time and your company is known throughout your area. When it comes to this investment, you are paying for a trusted brand which is highly visible, reducing the amount of marketing that you need to achieve in order for clients to find your business and take advantage of your deals.
Buying a franchise for a travel agency comes with a wealth of support from the franchiser, another major benefit. When you are investing in a new business, having a back up support plan is something that you will cherish and appreciate, especially in the first year or more. As you become accustomed to how the software works and what is expected of you as a franchisee, the more confident you will become. But that initial support is something that you can rely on each and every day.
Of course, you don’t get any better than investing in a business that already comes with a known name. When you start your own business, you have to pay close attention to your branding, choosing a catchy name, having your logo designed and ensuring that people get to see it daily, so that they remember it to use when they want a service you provide. With a franchise for a travel agency, the name is already there, which means people already know the name, a major benefit, which can save you valuable time, energy and money in the long run.
The final benefit of a franchise for a travel agency is that you have a wider range of providers to work with. Hotels, resorts, airlines, car hire companies and tour companies will already know your company’s name. What this does is you already have the reputation with these companies, making it easier to work with them and secure the best deals to share with your clients now and moving forward.
Remember, even when looking at investing in a franchise, you want to do some research to ensure that you are making the best investment choice for you that will offer you a good return on your investment. Ensure you are completely comfortable with what is offered, what is expected of you as the franchisee and what the franchisor will do for you to ensure your success.
In much the same way Amazon and eBay have helped many get their start in starting, developing and running an e-commerce business, this same help is now available in starting a staffing business.
There are now well over two million third-party sellers on Amazon. The infrastructure that is on Amazon and eBay is plug_ and_ play for all who try and claim their stake on these selling platforms.
With this in mind, the traditional route for those seeking an opportunity to start their own staffing business included the need for a large capital infusion, a payroll system, access to high-cost worker’s compensation insurance and many other costs that were prohibitive for most to enter the industry.
For many who do have the resources to enter the staffing industry, they often turn to high-cost franchise staffing companies who enjoy a large slice of earnings for the lifetime of the business. This relationship can grow strained over time and at some point the operator may feel they are contributing more to the franchise than the franchise is contributing to the operator. When this occurs, the separation from the business can grow messy and can even end in litigation.
The simplicity of both Amazon and eBay and their policies are a big draw for many who are looking to sell products online. There are no long-term agreements or costs that can easily cripple a new business. Being able to be flexible in a new venture is always a great asset and both these platforms allow for it.
This flexibility platform is now available in the world of staffing and has over 150 firms using this unique business model to grow impressive sized businesses with many reaching over a million in first-year billing. With over half a billion under management in less than 10 years in operation, one can see this is becoming a great alternative to going it alone or entering into a long-term agreement with a franchise.
What you get on the platform:
- Worker’s compensation insurance with no liability to the operator.
- An unlimited funding source for all payroll and client billing.
- A complete back-office for all management and personnel needs.
- Access to professionals with over 40 years of staffing experience.
With all the boxes checked, this platform can be summed up as the Amazon or eBay of the staffing industry. If mitigation of risk is high on your list for starting a sustainable, prosperous business there are few options that can match what is now available.
While considering franchise business, it is crucial to know that you are actually into the selling process. If you are good at sales, franchisors will definitely go to sell you on their systems, and you will work with sales executives who usually get the commission to generate lead to enter into franchise agreements. When we talk about European franchisees, several laws are to be taken care after. In fact, every small detail from the readiness of understanding to working with money-related information is to be deliberately recorded in an agreement.
In between sales process, you will always hear about the several benefits that each franchise system has to offer. But in many situations, these systems have limitations too. Let us understand this with some examples:
Benefit or Drawback of Franchise Opportunities
1. Designated Suppliers
It is highly desired for the franchisors to ask their franchisees to buy the product only from selected suppliers; this case is valid only for product-based franchises that offer products and services. The benefit of asking the franchises to make a purchase from the designated supplier is to deliver the same services and products to the customer and also to reduce the burden of sourcing the product.
On the other hand, the drawback with designated supplier option is to make delay in delivery or what if it’s provided products do not meet the client’s expectations. If you are tied in contract with the franchisor and unable to find a possible solution of this then these could create a big problem for you and your business in future. In that case, a franchise agreement lawyer can give a solution to this problem.
2. Advertising Funds
A centralized advertising fund in a franchise system can provide benefit for the right franchisees. But, wait a minute, to consider few things before contributing an amount of your income. It means, in a typical franchise agreement which is generally created by a franchise agreement lawyer, franchisees are not given any benefit on their contributions. If the franchisor thinks it can generate a good amount of revenue by concentrating its marketing efforts in a particular region even if your franchise is located somewhere else, you will hardly notice any postings that are targeting your region.
Moreover, franchisors always reserve the right to use the franchisees’ part for administrative expenses and advertising funds are never operated with transparency.
3. Franchise Territories
If in case, a franchisor is offering franchise territories, it is crucial to understand what does franchise territories mean. Usually, different franchisors give rights of different territories, based on their geographic reach with the uncertainty of exclusivity.