So many more people are investing in a resale business and what’s in it for you if you decide to go down this route
Franchising has long been one of the safest and most reliable ways to start your own business but over the last year, we’ve seen a big rise in the number of people who are buying established franchises instead of opting for a start-up. So, why is this, and could it be the right choice for you too?
The pandemic caused a lot of people to rethink their careers. Franchising has always been a huge draw for people who want to break away from the daily grind and become their own boss, but now we are seeing a lot of high-end business owners and company directors seizing the opportunity too. Only, they’re not coming in at entry-level – they’re buying franchises that have already been running for years. Some want to find a better work-life balance, or perhaps relocate away from big cities (another huge post-pandemic trend!), whereas others want to pursue a career they have a growing passion for – like home renovations!
Sometimes it’s even all of the above
So, if this sounds a bit like you, perhaps you are considering cashing in on your current business and striking out for pastures new? Business resales aren’t cheap, however. You can expect to be paying upwards of 10 times as much compared to the traditional franchising route, so why is it so appealing to people in your position?
Reduced risk and guaranteed income
By purchasing a resale, you may have a much higher initial outlay, but you’re also jumping straight into a business which is already up and running and turning a profit. It has proven it can work by operating for a number of years and has already overcome the challenges faced by new businesses. With access to many years of trading history, you can also reliably predict profits, growth and costs for your own financial planning.
The groundwork is already done
Even with the reputation and brand of a successful franchise behind you, it can take time to build up a business and get the word out about what you can offer. Not so with a resale – you’ll be able to immediately benefit from high brand awareness in the local area, as well as customer recommendations and referrals.
You’ll also already have a working team in place to deliver your service. Experienced personnel who know exactly how to get the job done to the highest standards. An established workshop and showroom will also be part of the deal!
A springboard to future growth
As an experienced businessman or woman, especially if you have great people skills and management expertise, you’ll no doubt see the potential for growing the business far beyond what was left to you by the previous owner. You will not only be able to put your own mark on the business but also use your advanced skillset to take it to the next level. By coming into an established business, you don’t need to spend time on getting it up and running but can instead focus on maximising its growth.
As Granite & TREND Transformations has been operating as a franchise for more than 25 years, some of our partners have been with us since the very beginning. We’re very proud that some of our franchisees have continued working with us for 15 – 20 years, but that does inevitably mean that some are now coming up for retirement, or have decided to relocate. We’re sad to say goodbye to old friends but that does mean an opportunity could open up for you!
Danny Hanlon is the COO of TREND Transformations UK.