Start A New Franchise Business In India: Franchise Opportunities pave way for the wannabe entrepreneurs

Creating New Business Opportunities Through Franchise

The franchise in India is emerging out as a new business option for many first timers to small scale entrepreneurs in India. That’s why a franchisor is usually seen searching for good franchise opportunities that would enable him/her to implement on a new business idea or ensure growth to the existing business.

Franchise in India serves as a good alternative & provides business owners excellent franchise opportunities that can be handles on a trial & test basis. It is the franchisor of a reputed brand who would be responsible for laying out most of the rules upon which franchise opportunities seekers are needed to act on for bringing out instant visibility.

However, one needs to carefully consider certain factors before settling for a particular franchise in India business from so many:

Set your goal – Find out the possible causes for venturing into this business. How profitable it would be for you & what amount of ROI do you think this business can fetch you? One of the most important thing, are you committed to keep up with it? For increased business prospective, you need to generate business for the franchisor thereby highlighting it. Many franchise opportunities are of traditional types & don’t offer much in terms of monetary support & skill set. If you think you can run the business on your own without the necessity of all the franchise costs then it would be better to invest in it alone.

Don’t initiate unless you have requisite funds – Some of the popular franchise opportunities come for a heavy price. In such cases you have to pay for hundreds of thousands of rupees annually as the annual franchise fee which may again vary from one place to another. What strategies the franchisors follow are not all same & differ a lot from franchisor to another.Read the franchise document properly and in particular the franchise agreement. One good example is the leading garment franchise Arvind who would sale goods on consignment orders & decided a commission for franchisees based on its value. Another one is the CADD, the training & education franchise company who fixes up a territory wise flat franchise fee irrespective of quantity.

In the earlier negotiation stage, the franchisor will try to make the offer look like attractive & their ROI calculations are most likely to be centered around the setup cost, initial franchise fee & royalty payments if any. Don’t forget that the business is not likely to keep growing from the first day itself & you will have to pay for the necessary requirements for a while. So avoid opting for the franchise in India franchise offers if you don’t have sufficient resources to continue with it for initial years. If you still have faith in your planning but facing fund crunch, forge partnership with some one who can provide you with necessary back up. In any case, don’t take the risk of staring it unless you have necessary fund.