Debunking Six Common Myths About Franchising

If you are considering starting a franchise and becoming a franchisee, it is crucial that you are informed. You can gather information about franchising from, among others, the internet, family members, friends, and current franchisors or franchisees. However, it is vital that you avoid falling for everything that you hear or read. Many myths abound about franchising. You need to be able to tell the facts from the myths. Falling for myths about franchising can impede your thought process. It can cause you to doublethink starting a franchise or start a franchise when this option is not what is right for you. Also, falling for franchising myths can lead to you choosing the wrong brand. With this in mind, we decided we needed to debunk some of the most prevalent myths about franchising.

Myth #1: You Are Guaranteed to Succeed

As a franchisee, you will receive support from the franchisor. You will likely also receive support from other franchisees. However, that does not guarantee that you will succeed. When buying a franchise, there is no guarantee of success. Just like it is with any other business, a franchise can fail. However, you will likely succeed in your business if you put in the hard work and utilize the support you receive from the franchisor and other franchisees.

Myth #2: You Must be an Expert at Running a Business

Some franchise opportunities will require you to have run a business before, and others will not require you to have run a business before. Some franchisors want to work with people with leadership, communication, and work ethic skills. Not necessarily people with experience running a business.

Myth #3: The Franchisor Runs the Business for the Franchisee

Franchisees are their own bosses. Franchisees are responsible for whether their businesses fail or succeed. The franchisor will have a certain degree of control over your franchise, but they will not be involved in the day-to-day running of your business. However, throughout the time you run your franchise, you will be helped by the training the franchise will have given you.

Myth #4: You Cannot be Creative if You Become a Franchisee

The franchisor will give you the framework and then let you run the rest of the business the way you want. Franchisees have the right to be creative to promote and develop their businesses.

Myth #5: You Should Only Choose a Well-Known Brand

Many people believe that only well-known brands succeed. This is not true. Even a franchise that does not have much market awareness can succeed. If you have the drive and the means to do so, you can turn a brand that is not well-known into something much larger. However, this is not to say that choosing a recognized franchise has no advantages.

Myth #6: The Franchisee Owns the Brand

You buy the right to use the brand when you purchase a franchise. However, that does not make you the owner of the brand. A franchisee cannot own the brand of a franchise.

Contact a Business Attorney Serving Santa Clara County and Silicon Valley

If you are considering buying a franchise and need information you can trust to help you make the right decision, contact the experienced business attorneys at SAC Attorneys LLP.