Franchise Brokers Association BLOG

Great recommendations from The Steel Method:

Via: The Steel Method

The Franchise Brokers Association became business members of a local REIA (Real Estate Investors Association) group called CFRI (Central Florida Realty Investors) in March.  We have been to many CFRI meetings over the last few months and have learned so much!

At first glance the members are perplexed by our presence there.  They say “Franchise Brokers Association?  What does that have to do with real estate investing?”  “Well, it has a lot to do with real estate investing,” we tell them.  Almost all of our franchise consultants moonlight as real estate investors because the mind set of an investor is the same whether they are investing in a franchise, a piece of property, a stock, etc.

Investors are looking to grow wealth, and to increase their net worth and passive income streams.  They are looking to build equity, real estate and franchises are the best way to do that.

Real estate is attractive because properties appreciate over time and require minimal funds to manage and maintain, compared to the value of the asset.

Franchises are attractive because they are proven, successful systems that have been simplified so entrepreneurs without specific industry experience are still able to run and operate them.  They can produce a positive cash flow very quickly and yield a high return due to a number of factors, including back-end support and infrastructure, training that is provided to a franchisee’s employees, research and development that is done on behalf of the franchisees, cooperative advertising and marketing, branding, websites, access to funding, and an immense list of other benefits.

With a franchise, a franchisee can be profitable in a matter of months and can run their business passively after only a few months.  No other types of business strategies have been as simple or easy as this.

Because of the these benefits, franchises grow equity with each month that they are in business and with a good franchise, a franchisee should expect a net return of 20% or more.

So to an investor, franchising is a great approach to wealth accumulation, passive income and equity growth.  It has the same allure that real estate does and in some cases even more.   So if you are a serious investor, consider using a franchise system to grow your portfolio of wealth.

Social Media has become a cornerstone of marketing for any business.  Entrepreneurs and start-ups can greatly benefit from using social media as it create buzz, spreads the word on your business, builds your customer base and creates an accessible information source and feedback platform for your audience.

Whether it’s monitoring your retweets, scheduling social media updating or making you more efficient in your efforts, there are some really excellent tools out there.  We’ll be featuring some resources that we’ve found useful or have heard great feedback on.  Let’s start with a compilation of “10 of the Best Social Media Tools for Entrepreneurs” reported by Mashable (personally, one of my favorite sites).

http://mashable.com/2009/10/26/socia-media-entrepreneurs/

What do you use to help in your Social Media campaigns?  What are your biggest hurdles that you’d like to find a resolution for?

The Franchise Brokers Association teamed up with a new connections site called Bizilla during the IBBA’s convention in Orlando last week.  Bizilla was the primary sponsor of the event.

Bizilla’s operating partner, Hector Vasquez, is a colorful and outgoing individual.  He was constantly pulling attendees into the booth, mingling, making friends and amusing others with his directness and style.

Hector was able to find every big player in the industry and by the end of their conversation, they were open to working with our two companies.

IBBA’s training courses occupied much of the attendees’ time but the time we did shared with them was extremely valuable.  Thanks to Bizillla and IBBA for a great show!

We recently exhibited at the Franchise & Business Opportunities Expo in both Atlanta, GA and Ft. Lauderdale, FL.  I was delightfully surprised by the outcome and results of each expo!  There was such a wonderful mix of people, many were potential entrepreneurs looking for the next gateway that will lead them down a new path of success.  They ranged from serial entrepreneurs with gobs of success in their wake to graduates fresh out of college.

Some loved the simple businesses that were easy to understand and relied more on equipment than anything else.  Others enjoyed complex businesses with very little competition because of the obscurity.  Some were young, some were old, all were curious!

As they strolled about the aisles, two things were certain: they all wanted something different than what they have now and they all needed help.

In a world where we are “sold” 24 hours a day, we sometimes need a little guidance through the maze.  Most prospective business owners have done very little planning with regard to the time, energy and money they will invest in their new business.  They haven’t thought about how they will manage the pieces of the business and who will handle the parts the they don’t enjoy or aren’t trained in.  They haven’t thought of how many hours they would work or the employees they will have.  They haven’t determined the break-even point and the sales goals they will need to reach in order to have the stable life they dream of.  And who could blame them?

As the saying goes “You don’t know what you don’t know.”

Each passerby that stopped to talk to the franchise consultants that bustled about our booth was shocked and impressed with what they learned.  It seems that service is still alive and well.  Our Franchise Consultants were able to show these curious visitors about all of the expensive services they were providing at no cost to them.  Services like legal counsel, accounting consultations, regular sales training for their employees, demographics studies, research help, profitability studies and more.

It was as if a wave of relief washed over them.  They were grateful and receptive to the support of these professionals.  Through the process they engaged in next, the entrepreneurs were provided with everything they needed to educate themselves on the proper franchise for them.  They were provided with a team of professionals, tools, education and ultimately peace of mind.  They felt secure in their decision and knew that with the support of the franchisor and the Franchise Brokers Association’s ongoing small business programs their success was much more likely.

Needless to say, if there is a Franchise & Business Opportunities Expo in your city, make sure to stop by.  You will be delighted with what you find.  We will be attending the show in September in Chicago, IL.  We hope to see you there!

CertaPro Painters has registered for the FBA Convention!

CertaPro Painters is North America’s largest residential and commercial painting company.  CertaPro offers their franchisees an affordable investment that requires few employees and low monthly overhead.

Join us at the FBA Convention to meet CertaPro Painters with other great vendors and franchise concepts.

Investing in a franchise that allows you to work out of a home office has a great deal of benefits:  Managing your own time, a casual environment, flexible schedule, low overhead, quick start-up.  However, it is akin to any business or investment, it will take time, hard work, dedication and, before anything else, you’ll need to do your research and due diligence.

Via Inc.com, Issie Lapowsky addresses some of the basic misconceptions of starting a home-based franchise (or any home-based business for that matter) and the questions you need to ask when working with a Franchisor and choosing which one to invest in.

Some crucial points to remember:

• You will need to dedicate a great deal of time to grow your business.
• If your new venture replaces a full-time position, be sure to dedicate yourself full-time to your new business.
• Set-up a dedicated office space in your home.  The more office-like it is, the more in “work mode” you’ll be.
• Be sure to choose a franchise that not only offers you a home-based opportunity, but a business you LOVE and can be passionate about.  If you’re going to invest time and money, invest it in something you’ll enjoy.
• Make sure to have legal counsel.  An FDD is a large and complex document that holds a great deal of information on the company you are about to invest in and the expectations made of you as a franchisee.  Having a lawyer experienced in franchise law is the most valuable first step you can make in this process.  They’ll help you understand the implications of the FDD, and should make changes, if necessary, that are in your best interest.
• Never, ever forget to do your due diligence and your leg work.  A franchise consultant can help you with the due diligence and understanding of the pros and cons of each franchise.
  
• Engaging experts (a franchise broker, a franchisee of the system, a franchise attorney, etc.) is always a good move.

Investing in yourself, to run your own business with the support and proven systems of a franchise, is an opportunity to create excellent returns and a higher quality of life for yourself; just be prepared for your investment and understand what’s needed of you.

Would you prefer a home-based venture, or a business that got you out of the house?

Yesterday, the FBA announced their co-sponsored, nationwide contest to award a franchise development package to one lucky entrepreneur.

The services (valued at over $85,000) include legal services, branding & marketing, documentation of systems and operations, and coaching and training.

Winner will be chosen based on several aspects of their concept.

Listen to the webinar recording here

Have a business you want to turn into a franchise?!?

Join us for a webinar releasing full details on June 21st at 2 pm EST.

Learn who should apply, how to apply, and more!

You can register here