Building a business is not always about starting from scratch. Buying a franchise is one way to own a business and start benefiting from it quickly. The advantage is that your franchisor's business is likely to be well-established, and there will be support available to help you succeed more easily.
Our franchise business guidePDF, opens in a new browser window is dedicated to support your franchise business and offers guidance on whether franchising is the right route for you.
Before you take on the responsibility of a franchise, consider how it will affect your life.
Taking on a franchise can be a great business opportunity but, before you commit your time and money, make sure you have also addressed the potential pitfalls.
You’ll normally have to pay the franchisor for the right to set up in business under their brand name and in a specific location. Ongoing costs may include:
In return, a good franchisor should offer you support and guidance to increase your chances of success, advising you on:
Whether you’re an inspired entrepreneur or have more modest ambitions, there are several business franchises to choose from. The one you select will ultimately depend on your skills, knowledge and experience.
The aim of researching a franchise opportunity is to ensure that it really is a tried-and-tested formula and one that is likely to succeed in your local area. Here are seven steps to follow:
You should also consider:
A franchisee agreement is a binding legal contract. Before you sign, talk to a British Franchise Association affiliated solicitor who can explain it in full. For guidance on planning your business, discuss the details with a British Franchise Association affiliated accountant. For independent guidance and support about franchising speak to the Lloyds Bank Franchise Unit. Initially email email@example.com with your question and a preferred call back time.
Being able to react to changes in the franchising sector often relies on being able to access financing. Whether you require an overdraft to make the most of an immediate opportunity or longer-term funding to support strategic growth, we have a range of finance options and products to suit your needs.
Lloyds Bank Franchise Team
St William House