Multi-Unit Franchise: What is it?

A multi-unit franchise is an amazing opportunity waiting to happen. It creates the availability for an owner to open more than one unit of his/her business. This allows the franchisee to do less managing in one unit, and instead creates the capability to manage several business all at once, at a higher level with smaller management underneath him to manage each unit.

The benefits of having a multi-unit franchise are immense. You can expand your business to more than just one particular location, and instead, open more units in different towns or even states. More units equal more money, all while managing them all together as a whole. Who doesn't want an opportunity like that?

It takes a lot of guts, and not to mention a decent amount of money, but the profit is higher and the risk is lower than just opening one single unit business. Think of a franchise in your home town. Then think about how you go to the next city over and there is another one of those same businesses there. Now think of your local "mom and pop" store with only one unit. Who is making more of a profit? Thats what I thought. The more units you have, the more money that goes into the business, but it also creates a bigger profit.

How it works

In most cases, you sign an agreement with the franchise. This agreement usually has a development schedule. This schedule plans out when and where you are opening up future units. It's nice to have a plan and know what you're going to be getting into ahead of time. It takes the guessing game out of when and where your franchise will grow.

Another great thing to keep in mind, the franchise agrees to not let another person open up that same franchise in your area, a down side many small, non franchise companies have. Ever driven through town and notice a million single unit flower shops? That's because they're not a multi-unit franchise. Non-franchise companies have to keep up with other small single unit businesses that may cause a lot of competition and may eventually lead their business to fail and have to close down, resulting in many, many dollars lost. Opening a multi-unit franchise is not like that. When you drive around and can't decide if you should go to your favorite fast food restaurant on this side or that side of town, it doesn't matter. They're most likely owned by the same person, meaning they are not competing with one another. As a multi-unit franchise owner, that stress is taken away from you because you own both of those units!

Becoming a multi-unit franchise owner is a big responsibility, but if you are determined to get out of the low income slump you're in, its time to consider it. Not only is it worth making yourself a possible millionaire, but also you earn self respect and a great sense of achievement once your franchise starts growing and becoming successful.