Franchising is one of the central parts of the American economy, a lot of business and jobs that were created after the great recession is as a result of franchises. In America, franchising business is still very popular and famous especially in the small business in the country. The franchising sector has experienced tremendous growth concerning its volume and ubiquity; it has been growing from new franchising to new finance methods. Business experts have conducted a survey of the most significant trends in the franchise business as listed below.
Top Developments in Franchising Business
- Technology Increase: Technology has made everything including business easy. The ubiquity of software hosted in the cloud has made the franchise business easy making it very significant. The primary purpose of using the cloud is to transfer all the software that are installed on personal computers and install them to the web. In the web, they are hosted in the single secure environment making accessibility easy and quick from any source may it be a tablet, mobile phone or a computer.
- Giving women business opportunity: Factors like lack of capital and business experience are lessened in the franchise business giving women and the minority group the opportunity to do business. Franchisors offer the required training and assist in business basics, while others go an extra mile of assisting franchises in acquiring finances for their business, getting leases for their business, and financing for equipment and sale-leaseback programs.
- Internationalization of the franchise business: According to the International Franchise Association, there are over 400 franchises operating internationally. Experts believe that many overseas companies are very willing to pay the large amounts of cash to benefit from the advantages that come with using the western trademark, the training, and the knowledge put together.
- Franchisors buying litigation insurance: The franchising trend has legal and economic reasons. Franchises lawsuits likely follow the economic cycle such that in times of weak economy, the franchiser may put the burden to the franchisee leading to a lawsuit, and when the economy improves, such lawsuits might be less significant.
- Crowdfunding: The franchising business was born from the great recession which was known to cutting off equity line of credit, as the major source of franchisees capital. Crowdfunding enlarges the number of individuals interested in investing especially in small businesses. Studies have indicated fans follow their favorite brands by liking and sharing them and crowd funding can make possible for them invest in them.
With the franchising business growing and becoming popular each day, many companies have invested in the franchise business and experienced an incredible growth as well. Below is a brief explanation of how they have grown and how they have been conducting the franchise business.
- Furniture Painting.
Having the opportunity to run and own a franchise enterprise has never been easy. The growth and the trend in the franchise business offer the best chance to the furniture industry to improve homes and home depots that major in the furniture business. It has never been an easy task to keep your furniture neat and new, but now with the wood renewal franchisees it is never hard even to use cabinet painters. Investing in the business is beneficial to the investor as they are assured of training in running the business, equipment, and supplies you will require when starting the business as well as attending conventions and seminars that will help you grow your franchise business.
- Cleaning and Hygiene Industry.
With the busier lifestyle nowadays, many home and business owners prefer their business space and residential areas cleaned by experts. The business is very famous, its demand very high and the cost is low. The franchise business ranges from job to management franchise opportunity that can be conducted from home or van-based delivery franchise. The cleaning franchise business offers a broad range of cleaning services from carpet cleaning, curtain cleaning, oven cleaning and many other types of hygiene services.
Franchisees do not necessarily have to have an experience in the business, instead for them to succeed in the competitive world of the franchise business such as commercial carpet cleaning services, they only need to have a strong desire to succeed and excellent customer service.