Making Money - May 2018

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The World of


Franchising


F


ranchising is one of the most successful
routes to owning your own business. Statistics
confirm that the failure rate in franchising is
2.1 per cent against over 80 per cent for stand-
alone start-ups.
However, franchisors are highly selective when
appointing franchisees who, as owner operators, will be
responsible for maintaining the franchisor’s image and
standards of service.
Franchisors will always appoint applicants with the
drive, discipline and ambition to succeed through a formal
but tried-and-tested business plan.
FUNDING
Around 60 per cent of all new franchisees borrow to start
their businesses. Typically, if you have £30,000 capital to
invest, a bank specialising in franchising will lend you a
further £70,000 – raising your start-up capital available
to £100,000.
USING FRANFINDER
For more information on any of the companies listed in
this section visit http://www.what-franchise.com and click on
‘Franchises For Sale’. Then select the category(ies) you
are interested in and find the companies you wish to know
more about.
FRANCHISE BUSINESS CATEGORIES
Franchising opportunities fall into well-defined business
sectors and the Making Money FranFinder is divided into
these categories for your easy reference:

FranFinder


Making Money’s


Franfinder provides


everything you


need to know about


the franchising


industry in a


user-friendly


9-page reference


guide designed to


help you find the


perfect franchising


opportunity


For more information on any of the
companies listed in this section visit
http://www.what-franchise.com and click on
‘Looking for a franchise’. Then select
the category(ies) you are interested in
and find the companies you wish to
know more about.


WEBSITES TO VISIT
Making Money
http://www.what-franchise.com

British Franchise Association
http://www.thebfa.org
Business Startups
http://www.startupbusinessuk.net

FRANCHISE FACTS


Franchising contributed £15.1 billion to the
economy in 2015 and employs 621,000 people, of
which 321,000 are in full-time employment. Both
figures are up more than 10 per cent since 2013.
The number of franchisee-owned
businesses totalled 44,200 in 2015, over one
third of which are run from home.
97 per cent of franchisee-owned businesses
are profitable and over half turn over in excess
of £250,000.
Less than one per cent of franchisees closed
their businesses because of commercial failure in
the last 12 months.
29 per cent of franchisees run multiple units.
More younger people are entering the
franchise sector, with one in five franchisees who

started their business in the past two years being
under 30.
Franchisee-franchisor relationships are at
their strongest level, with nine in 10 franchisees
declaring satisfaction.
Home-grown success is converting into
export success. Four out of every five brands in
the UK are domestically owned, with 38 per cent
expanding their business model overseas and a
further 11 per cent considering doing so in
the future.

Source: British Franchise Association/NatWest Franchise Survey 2015.

n Bar
n Business & Professional Services
n Business Franchises
n Care & Elderly Services
n Childcare
n Children
n Cleaning
n Coffee
n Commercial & Industrial
n Communications
n Delivery & Haulage
n Education
n Entertainment
n Fast Food
n Financial Services
n Fitness
n Food & Beverage
n Gym
n Health & Beauty
n Homebased
n Homecare & Property Maintenance
n IT & Computers
n International
n Lettings & Property
n Motoring Services
n Online Franchises
n Pest Control
n Petcare
n Pizza
n Plumbing
n Print & Promotional Services
n Recruitment
n Restaurant
n Retail
n Services
n Sport
n Travel
n Leisure
n Vending
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