What are the advantages of buying a franchise?

Studies show that 90% of franchise business are still operating after 10 years, whereas 82% of independent businesses have failed.

"In Business For Yourself But Not By Yourself"

According to U.S. Department of Commerce, although only 8% of businesses are franchises, they represent 40% of all retail sales in the U.S. Franchising methods are proven, and often better than trial and error, and a franchise has a higher value than an independent business and is easier to sell. Another reason franchises are successful is that the synergy of a group of people, all contributing ideas and motivation, is a benefit to each individual.

More than 60% of all franchisers have been in business at least a dozen years. Industry statistics show that the franchise failure rate is 2.1% in the first year, compared to approximately 80% of all new independent businesses.

A franchise is usually based on a proven business idea, which means that not only has the franchisor shown the product or service to be viable but all the systems required to run the business are already in place. And as most franchises are recognized brand names you will generally find it easier to sell to customers and, in turn, expand your business.

As well as specialized training, franchisees also benefit from any new products or services introduced by the franchisor. A franchisee, while self-employed, remains under the umbrella of the franchisor throughout the term of the contract. This is advantageous for the franchisee in terms of marketing and advertising and has led to the widespread use of the industry's adopted slogan: 'In business for yourself but not by yourself.'

Among U.S. franchises, 65% consist of fewer than 100 stores and 49% have under 50 locations. Compare this to ShapeXpress, which in its first 3 years of offering franchises has sold over 300 franchise licenses and over 70 opened!