For many entrepreneurs today, franchise financing is a good way to get in the game of Main-street. There are two reasons for this: 1) a franchise is more likely to succeed than a mom-and-pop shop, and 2) franchise financing is more likely to be approved by a bank than a regular business loan – especially when it comes to franchises vs. start-ups.
Franchises Vs. Mom-and-Pop Shops
To the grief of some, mom-and-pop businesses all over the country are being replaced by large chains. This is particular true in the restaurant industry. Though this is misfortunate for the independent restaurant owner, franchises play a major part in building main-street and provide ample opportunity for entrepreneurs. Here are some of the reasons franchises succeed (from small business expert Bob Coleman):
- Franchises already know how to run their business as efficiently as possible
- Franchises have marketing power
- Franchisees can receive mentoring by experienced franchise ...