This is a franchise business method in which a company, otherwise known as franchiser, uses third option manipulator, called the franchisee to offer its goods or services for sale on its behalf. Incase you agree to do business with a franchise, you being the third party company will be in a position to use the marketing strategies of your partner. Moreover you will use the trademark of those commodities of the franchisor which you offer for sale in your premises. In addition you will be allowed to use the name of that company and everything pertaining to that company which in most cases is well laid out in the market. This idea is generally good for beginners who fear the challenges brought about by entering into a particular business.

In franchising, the third party operator is required to pay to the owner an initial fee and other royalties. The franchiser then gives the owner of the business the independency to distribute the various products or services that are available. When you are making a business plan, below are some of the issues that are important to consider.

Their credibility: Ensure that the company that you want to work with is credible and the market can trust the goods and services that it offers. The franchiser should also have a good working relationship with its franchisees.

Uniqueness: Any business startup should be different from other franchises. This may be so through the type of market to serve, the goods or services involved or pricing.

Straightforwardness: The type of business that you wish to start should be easy to learn to operate by a new franchisee. Avoid operations that may be too complicated or those that need a lot of time to complete.

The market for your goods and services: The goods and services that you offer should have a great demand from the market. This is what will determine the sales that you make and the returns the business makes. The idea that you take up should apply to various markets.

Profit from investment: All the businesses are laid in a foundation of bringing forth results. These returns are the profits you make after you take away all payments and expenses. If the payment and expenses are bigger than the returns then you have made a loss.

Management: The people who run the business should be competent. Work with the best. Make sure you read all the documents carefully before signing.