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Benefits of Franchising Your Business

Small businesses can expand a number of different ways. The most common methods of expansion require placing substantial capital at risk. Those methods include competitive business ACQUISITION, establishing DISTRIBUTORSHIPS, LICENSING, INDUSTRY COOPERATIVES and of course ORGANIC expansion by slowly carving out new marketing routes.

Franchising uses the capital investment of your franchisees to grow your brand, business and company revenues. It allows your concept to expand to new untapped markets at no cost to you and much more rapidly! In today’s marketplace rapid expansion is a distinct advantage. The window of opportunity for a new or unique business concept closes very rapidly. Franchising provides you the franchisees capital to open multiple units simultaneously. Therefor you gain a foothold over would-be competitors that are at this moment looking to duplicate your success.

Rapid Return on Your Investment

The good news... for the majority of Business Development Centers clients the investment required to franchise their business is less than the revenue from the sale of their FIRST franchise. Yes that's correct, you most likely will see a return on your investment with only ONE FRANCHISE SALE!

Unique Attributes of Franchising

Of all the options available to the small business owner FRANCHISING is the only method that offers all of the following attributes:

  • Virtually No Capital Outlay for Expansion - Franchisees pay for unit growth
  • High ROI - Low capital investment yields high return-on-investment
  • Low Risk - Franchisees assume full risk for their unit
  • Limited Liability - Franchisees assume financing and leasing responsibility
  • Fastest Reoccurring Revenue Growth - Due to multiple revenue streams
  • Motivated Location Management - Individual unit ownership creates greater focus
  • Minimal Operations Requirement - Day-to-day operations at the unit level
  • Collective Purchasing Power - All units benefit from the collective
  • Brand Confidence - Consumers buy from names they know
Additional Revenue Sources

Franchising also produces cash flow from multiple revenue streams. BDC can show you how to effectively create substantial revenues from:

  • Substantial Franchise Fees
  • Reoccurring Royalty Fees
  • Reoccurring Advertising & Marketing Administrative Fees
  • Franchise Service Fees
  • Franchisee Training Fees
  • Sales of Products & Supplies
  • Sales of Promotional Items
  • Rebates from Suppliers
There is strength in numbers. Franchising offers you a rapid and inexpensive method for business growth and competitive dominance. If your business has an immediate local advantage you should strike while the iron is hot and franchise.

Free Franchise Evaluation

Click here to email our industry experts or give us a call. We will provide you a FREE NO OBLIGATION franchise feasibility evaluation.

Cost Effect Franchise Development

Business Development Centers
5514 Metro Parkway
Sterling Heights, MI 48310
586-303-0040 Voice
586-314-0516 Fax
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