There are many franchises out there that suit all different type of people for example a lawn mowing/gardening franchise might suit someone who loves the outdoors and being active all day and a fast food franchise might suit someone who loves interacting with people.

Convenient as they are, most franchises for sale do not come cheap and require some level of background/ skills in the franchise area, although there are potential bargains for well under $ 100,000 that require no skills just a passion for the franchise. If you browse List A Business there are a wide range of opportunities.

The best way to search for established franchise within your price range is to do the legwork and research on the competition within the franchise area. Meet with existing franchisees and learn about the life cycle of the business and ask yourself does this franchise meet your expectations of the return on investment (ROI). For example if you outlay $ 100,000, you will want see a return of $ 70,000 a year.

If the feedback from the existing franchisee are negative, then stay away!

Do your due diligence, a common trap for prospective franchisee is rushing into a franchise without any knowledge and understanding of the franchise system.

There is a miss conception by franchisees is that franchises last forever, they don’t!

An average term of a franchise is for a term of 5 years followed by an option period. Remember it takes time for the franchise to growth and expect for the second year to perform better than the first year and hopefully at a profit.

Ensure the initial term of your franchise allows some flexibility as this franchise business may not be what you expected and you may want to exit or sell the franchise to a new franchisee.

Other factors to consider when searching for a franchise is the initial level of training provided, on going training, degree of on going support, is the estimated key earnings achievable within the term of franchise, what other competition is within the local area, is the franchise selected the right target market, level of marketing and franchise fee.

Finally if the franchise for sale seems perfect for you and stacks up as a solid business, the next step may be to consider additional business management training / education but best of all always ensure you seek legal and accounting advice from advisers with relevant experience.

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