Magnet Investments

The Future Of Franchising

Franchising in Russia is gaining new momentum What is it, what it eats, and whether it is useful for health. They say that business – a risky business and there is a very large grain of truth. According to Jeff Gennette, who has experience with these questions. As we know 90% of companies closed within 1 year of operation, and the remaining 10% only a few continue to work and live "before the third year of operation. Reasons for such disappointing statistics can be set: it's lack of experience with young entrepreneurs and, very often, lack of funds improperly chosen strategy and the wrong decisions, even when lifting business can bring it to the deplorable outcome. How could reduce the risks while still become owner of your own business? For many people, wishing to start their own business, franchising is the optimum way.

That's about it, as well as the peculiarities of the development of franchising in Russia, we'll talk today. What is franchising? Birthplace of franchising on the right can be regarded as America, where already in the 1950's, franchising has declared itself as a way to grow your business. It was during this time many companies have realized the benefits of the spread of its business through a network of standardized centers that provide services or sell products of a certain quality. Franchising is widespread throughout the world, largely because this system involves the mutually beneficial cooperation network organizer – the franchisor and the members of the network – the franchisee. There is safety in numbers

Tags: business