business

Start-Up or Franchise

Ray Kroc met with a couple of enterprising brothers in 1954 and made history with the franchise known as McDonald 's . At the time the business began , there were few franchises to buy into and certainly no hamburger restaurants that were so accessible and affordable . Over fifty years later , there are an infinite number of franchises , but very few have had the success of McDonald 's . In addition , many franchises are going bust in the current recession , while similar franchises are still turning a profit . When an individual decides

to go into business , he or she has an important decision to make - whether to start a business from scratch or to buy into an already-successful franchise

One might assume that buying into a successful franchise such as McDonald 's , Starbucks or Subway is a no-fail proposition . After all everyone knows these places , so it is easy to assume that an individual who owns one of these businesses will succeed . Unfortunately , it is not quite that easy . First of all , the prospective businessperson will need to have the initial investment to purchase the franchise . The last estimate for purchasing a McDonald 's franchise was half a million dollars - and this figure only includes the initial buy-in , not the supply or leasing costs (Anthony . If it is not an inexpensive investment , it can include being required to use particular suppliers or approved locations . The next step is to lease property that has been approved by the company - after all...