So, you want to become your own boss? Amazing! Working for yourself is one of the most rewarding paths on which your career can go. When considering whether you want to join a franchise or become an independent business owner, you must first understand what type of entrepreneur you want to be and weigh the advantages of buying a franchise vs. starting a business.
What is a Franchise?
A franchise is a business model between a franchise owner and a franchisor. A franchise owner wants to start a business but may need support and an industry partner to do so. The franchisor is an established brand who agrees to let a franchise owner operate a branch of their business and grants them full access to their intellectual property and business systems in exchange for a fee.
For instance, Dream Vacations encourages people to become a travel business owner, offering them full training to operate their own business with access to all of Dream Vacations’ marketing and business systems to be successful.
Advantages of Buying a Franchise
The major advantage of buying a franchise is getting complete access to an established brand. Overall, the franchisor will already have a recognizable, reputable brand name that can help drive people to a franchised business.
Franchises also have a proven business model. They’ve already tested new business strategies and found the perfect way to operate, market and manage their company. New franchise owners get to hop on and adopt all their strategies!
With a franchise, franchise owners also receive ongoing support. Dream Vacations is one of the best franchises to start for those who love to travel may not have much experience being their own boss – providing all the training, marketing materials and operational support you’ll need – plus, Dream Vacations has meaningful relationships across the travel industry.
Franchises are also easier to start with straightforward access to funding, and the franchise may have lower startup costs or financing options. At Dream Vacations, travel agency startup costs begin as low as $3,500. The hardest part of being a business owner is easing your way into the market, but Dream Vacations reduces the complexities and hoops new Franchise Owners must jump through when establishing their new business.
Advantages of Starting a Business From Scratch
Starting an independent business is a good option for those who are very driven and don’t mind the risk of forging their own path. With an independent business, owners build their own brand from scratch – handling each aspect on their own.
Private business owners also don’t have to pay any franchise fees or royalties. However, this doesn’t mean the startup and maintenance fees will be lower than those of a franchise. There are always costs involved when opening a business.
Factors to Consider When Choosing
Risk tolerance is one of the biggest factors to consider when debating between a franchise or starting a private business. Franchises are often seen as a lower risk since franchise owners have the full backing of the franchisor, from helping to enter the market to providing ongoing support.
Another factor that should be considered when making this decision is the level of financial investment someone is willing to commit. The initial costs and fees, as well as overhead and upkeep, will vary significantly for both independent businesses and franchises. Starting a travel agency business with Dream Vacations has a low cost of entry since there is no inventory and you’ll have minimal overhead costs while working from home. In fact, Dream Vacations is ranked a top low-cost franchise by Entrepreneur Magazine.
Understanding personal experience in the industry or field someone wants to enter is also important when making the business vs. franchise decision. Dream Vacations’ ideal franchise candidates come from a variety of backgrounds and stages of life. With initial travel agent training, ongoing support and a caring community, owning a Dream Vacations franchise a great option for new or inexperienced entrepreneurs looking to get started in the industry.
When comparing the advantages of buying a franchise vs. starting a business, Dream Vacations is the perfect option for travel enthusiasts looking to pivot their career to something they can be truly passionate about. Now’s the ideal time to take first steps towards learning more about how to become a Dream Vacations Franchise Owner!
