Franchising system became popular in Israel in recent years. This is especially true in the restaurant and coffee sectors. Many dream of opening their own business but reluctant to do so because lack of experience in the food business or owning their own business.
In the field of franchising Elsar provides the following services:
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Examination of the franchising chain
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The profitability prospects, including examination of other branches in the franchising chain
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Feasibility check of the proposed branch, in case of acquisition of an existing branch or in establishing a new branch
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Preparing a business plan
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Examination of the franchise contract
Buying a franchise is a quick and easy way to fill in the gap of lack of business experience and understanding the food sector. Why make the effort learning how to run a business and taking unknown risks, if someone with experience who made it, offers us a proven formula for success? We only have to pay and all the knowledge, experience and reputation of the chain passes us. Proven and easy success. However, the franchisor looks at this as an easy way to make money. Sell franchises. That way he can get an money without working hard for it, pay off debts or to get rid of losing branches at the expense of someone else. The franchisor don't really take the risk. All the investment and risk comes from the Franchisee.
Considering the purchase of a franchise should be identical to examine the feasibility of acquisition of any business. We must examine the franchisor, its franchise plan and the profitability of the offered branch. If this is the construction of a new branch, the location must be examined, the rental conditions and competition in this specific location, the investment required for setting up a business and obviously the franchise contract.
A careful examination can ensure the maximum benefits from franchising.