People in the Tampa area earn income in different ways, but typically they either work for a company as an employee or they work for themselves as a business owner or independent contractor. However, there is another option which combines the two and allows people to somewhat be their own boss, while still having the guidance and support that employees receive at a company. This option is known as franchising.
Two main franchising options
Franchising comes in a couple different main forms. One is a when the franchisee is allowed to sell another companies’ products as a distributor or to use the other companies’ trademarks. The other form of franchising is that the franchisee is allowed to not only sell the product, but is also provided support and has access to the franchisor’s services, marketing models and other help.
The second form of franchising is the one more people are familiar with even if they do not realize they are familiar with it. It is common that individual restaurants such as a Subway or McDonalds restaurant is actual run as a franchise. The franchisee sells the restaurants food and uses their promotions and marketing, but the individual franchisee is responsible for hiring their own employees, building their brand within the community and responsible for the overall success of that individual restaurant.
The franchising relationship often involves the franchisee paying an upfront cost to the franchisor as well as periodic royalties based on the earnings of the individual franchise location. The franchisee then keeps the remaining profits like a business owner would normally do.
There are many people in Florida who may want to explore becoming their own boss. This comes with many risks especially when people are starting the business from scratch. That is where franchising may be a good option. People can run the business as they see fit, but also have the support and brand recognition of the franchisor to help start the business. People starting a franchise need to ensure it is done correctly though and consulting with experienced attorneys could be beneficial.
