08 Sep, 2017

Franchise Vs Own Business Opportunity

Franchise vs own business opportunity If you are seeking opportunities in the rent to own business, check out the possibility of franchising. The role which franchising plays in the U.S. economy is amazing. According to recent RTO surveys, franchising accounts for over one and a half trillion dollars in U.S. retail sales every year, from over 760,000 small business franchises in 75 industries. Other studies show that franchises account for over 40% of U.S. retail sales and have over 9 million employees. It is estimated that 8% of retail businesses are franchises, and a new franchise business opens in the U.S. every eight minutes. What is the alternative to franchising? Franchise vs own business opportunity Statistics show that well over a third of independent start-up businesses fail the first year; and over two thirds fail within three years. By contrast, over 90% of franchise businesses are still going strong after five years. This is a strong argument in favor of franchising. Why is franchised rent to own business opportunities usually so much more successful? Perhaps because franchisers provide their store owners with a proven concept, packaged in a well-organized operation, with considerable clout in obtaining volume discounts on name-brand merchandise; and they have large advertising budgets out of the reach of independent operators. Franchisees also have the advantage of being guided by professionals in the leasing business whose experience has developed the most effective operational methods, franchise vs own business opportunity and who know how to trouble-shoot and avoid pitfalls. This guidance includes assistance in site selection, employee selection and training (for you and your managers as well), computer software systems, inventory financing, and support in marketing and advertising. What do futures rent to own trends look like? With yearly revenues of $5 billion, the leasing market in durable consumer goods is one of consistent growth. Having penetrated less than a quarter of the potential consumer population, there are still terrific opportunities in RTO franchising. Leasing customers typically are hourly wage job holders who earn a weekly pay check, and who live in a rented apartment or house. RTO enables these consumers to obtain immediate use of the durable household items they need without assuming onerous debt obligations. U.S. Census Bureau studies show that while median income in American households has been slowly increasing, franchise vs own business opportunity nonetheless the tightening of consumer credit and the increasing number of U.S. families with under $50,000 in annual income has created a large demand for leasing durable consumer goods. The U.S. economy is shifting from manufacturing to information processing, with a corresponding shift in the job base from high-wage manufacturing jobs to low-wage data processing and administrative positions. There is plenty of room for success in RTO franchising, helping less affluent consumers to live the good life without breaking their budgets.