One relatively easy way to learn about franchising is to do some research on the Web. The International Franchise Association, for example, hosts a very informative Web site (http://www.franchise.org). The association also offers the magazine Franchising World. Also, check out your public library or bookstores for the many business magazines that report on small business opportunities. Many of these magazines, such as Entrepreneur (http://www.entrepreneur.com/magazine), publish special editions dealing specifically with franchises. Additionally, listen to the Franchisee Voice Blog (https://www.aafd.org/the-franchise-voice) to learn more about the field.
Join your high school's business club, a group that may give you the opportunity to meet business leaders in your community. Find a local franchise owner and ask to meet with him or her for an information interview. Discuss the pros and cons of franchise ownership, find out about the owner's educational and professional background, and ask them for general advice. Also, most franchise companies will send you brochures about their franchise opportunities. Request some information and read about what's involved in owning a franchise unit.
Think about what industry interests you, such as services, fast food, health and fitness, or computers. Come up with your own ideas for a franchise business and do some research to find out if this business already exists. If it does, there may be a part-time or summer job opportunity there for you. If it doesn't, keep the idea in mind for your future but go ahead and get some work experience now. Many franchises hire high school students, and even if you end up working at a Subway when what you're really interested in is lawn care, you'll still be gaining valuable experience dealing with customers, handling sales, and working with others.
Today, industry experts report that franchises are responsible for nearly 50 percent of all retail sales in the United States, and this figure is expected to grow through the 21st century. Franchisers (those companies that sell franchise businesses) and franchisees (those who buy the businesses) are sharing in the more than $1.5 trillion a year that franchise businesses take in. While everyone probably has a favorite business or two—maybe the neighborhood Krispy Kreme with its fresh crullers or the 7-Eleven down the street with its gallon-sized sodas—not everyone may realize that these are franchised establishments. For those interested in starting their own businesses, becoming franchisees may offer just the right mix of risk and security. Any new business venture comes with a certain amount of risk, but franchises offer the new owners the security of a name and product that customers are used to and are willing to seek out. Someone with money to invest, the willingness to work hard and sometimes long hours, and the desire to operate a retail business may be able to become the successful franchisee, sharing in the franchiser's success.
There's a franchise for practically every type of product and service imaginable. In addition to the familiar McDonald's and Burger King, other franchise operations exist: businesses that offer temporary employment services, maid services, weight control centers, and custom picture framing, to name a few. The International Franchise Association, in fact, reports that there are more than 120 different industries that make use of the franchise system. No matter what business a person is interested in, there are probably franchise opportunities available.
Depending on the size and nature of the franchise, owners' responsibilities will differ. Those who are able to make a large initial investment may also be able to hire managers and staff members to assist them. Those running a smaller business will need to handle most, if not all, of the job responsibilities themselves. Though there should be assistance from the franchiser in terms of training, marketing guidance, and established business systems, the business is essentially the franchisee's own. The franchisee has paid an initial franchise fee, makes royalty payments to the franchiser, purchased equipment, and rented business space. Any franchisee must handle administrative details, such as record keeping, creating budgets, and preparing reports for the franchiser. A franchisee is also responsible for hiring (and firing) employees, scheduling work hours, preparing payroll, and keeping track of inventory. Using the franchiser's marketing methods, the franchisee advertises the business. The practices and systems of franchisers differ, so those interested in this work need to carefully research the franchise before buying into it.
Some owners work directly with the clientele. Of course, someone who owns multiple units of the McDonald's franchise probably won't be taking orders at the counter; but someone who owns a single unit of a smaller operation, like a pool maintenance service, may be actively involved in the work at hand, in dealing with the customers, and in finding new customers.
The franchisee's experience will be affected by the name recognition of the business. If it's a fairly new business, the franchisee may have to take on much of the responsibility of promoting it. If it is a well-established business, customers and clients already know what to expect from the operation.