Business options always stir people to explore uncharted territories, especially when you picture the success of your business idea in just a few years.
For some, the stereotype of wasting their lives working for someone else is not attractive. But only those with the willpower to proceed regardless the tough times ahead, find the true success.
Sometimes, analysing each of the options that lie ahead and believing in your abilities to achieve a significant milestone can be a very compelling moment of your career.
So, why not take risks whether the winds are in your favour or not?
Also Read: Entrepreneurial Journey at the Age of Sunset, is it Worth the Risk?
What are your Business Options?
- Buying a Franchise.
- Opening an Independent Business.
- Buying a Pre-existing Business.
What are the distinct business implications and how do they differ from each other?
Each of these three business options vary from one another, let us see what options they hold for you.
#1 Purchasing a Franchise.
There are several franchises to buy in various segments of the market that represent a potential investment for startups.
Usually, the franchise system is already built and your role is to follow the franchise rules. In such businesses, you have a little wiggle room or the independence to make decisions regarding business. You can still make decisions concerning staff, expansion, renovation, management, etcetera. A big part of the business operations is pre-decided by the franchisor.
The upside to buying a franchise is that your worries will be at a minimum because the franchisor will already have everything set up for you. They will present you a list of products to offer, promotions, store layout, price distribution, and also provide you with nearby suppliers. Some franchises may already have an established location for you to open and start the business.
When buying a franchise, you have the possibility of predicting success based on the assessment from other franchise owners. Find franchises in nearby regions and ask for a follow-up, if required. Understand the work routine of such an establishment to get a better idea of your investment and scalability measures. A franchise is one of the best business options for first-timers.
Also Read: What is the Best Time to Start a business? What you Need to know?
#2 Buying an Existing Company.
If you decide to buy a pre-existing business, the most challenging task is to find a company for sale. The one that will give a return on your investment and the type of market segment desired.
Another factor that makes the situation a bit more complex is that entrepreneurs who own a lucrative business are not willing to sell for a meagre price. Possibly, you will have a better luck finding a bad company for sale and that uses the “good business” tag as a makeup.
When you find a small business for sale and research the reason they had incurred losses and went broke. Whatever reasons you may hear from the surrounding businesses or the Internet, make a note of them and try to dig deeper into what this business did right and where they went wrong. Getting to know their business practice will help you avoid the same mistakes and build upon what they did right.
Also Read: Sustainability- A New Opportunity for Small Businesses in Developing Markets
#3 Opening an Independent Business.
Having a business idea crafted around personal interests is a good thought. Add to that a methodical analysis of the capital at hand, a business venue, staff consideration, etcetera all seem like great reasons to opening an independent business.
The success evaluation depends on the projections of sales, expenses, profit & loss calculations. An effective tool to will help accomplish this task is a solid business plan, the one which includes contingencies if things did not go your way.
Also Read: What Are The Three Pillars of Success In Business & What Do They Mean?
What are the best business options?
This question has no definitive answer or formula. The course and condition depend on your profile as an entrepreneur and specific goals for success. There is no certainty of success in business, nor guarantees.
On the other hand, entrepreneurs with a good planning earn back great returns, in terms of finances, customer trust and respect in the market.
Whether you own an independent business, purchase a franchise or buy a pre-existing business, formulate a realistic business plan. It is the only tool that will guide you during problems with seasonality and also act as a profitability indicator.