Start-up decision making of an entrepreneur is crucial to select the right business platform. You can purchase the existing company’s brand or launch a new brand of your own. After analyzing the business environment and situation, you need to select what types of business platform you are going to establish.
David Lopez said, "Most commonly, business owners want to franchise because it is an effective way to expand a business, yet involves limited risk and less capital,"
When you take decision to make franchise to start with a branded company, you should judge the advantages and disadvantages of doing franchise decision making. If your start-up company is growing rapidly and you want to transform it to a franchise, then you have to know some important dos’ and not dos’.
Do your homework
Before making the decision to franchise you should understand the franchise business model. Many of us don't understand the guarantee and strength to franchise a company. You need to know costs associated with the franchise properly to operate it.
You did not research your market. You don’t have any idea about franchise business model. You don’t know the terms and conditions of and franchise business but you always try to gain the opportunity. In this situation, you will not get advantages from the initiatives whether it is starting or start-up or other business platform.