When watching the stock market go up and then go down with a feeling of having little control, we are often left to wonder about the lack of predictability about this investment tool. Many executives who have been vested in this model have step outside of the box to explore other vehicles that present more opportunities to control the outcome.
Business ownership is one of those methods and to improve the odds, many look to franchised businesses. The reason is simple, franchises have a much higher success ratio than independent start ups. And, with already established brand equity, proven marketing and business operating systems, training and ongoing support the learning curve can be shorter and the path to success quicker.
A wonderful aspect of franchise ownership is that these businesses can be run on a semi-absentee basis. In fact, some concepts (hair salons like Sports Clips) specifically cater to investors vs. owner operators.
Other franchise models such as regional development level franchises, allow for a strong degree of autonomy along with the opportunity to lead and coach single unit owners. These are a great way for someone with the business acumen, financial resources and experience to build a substantial residual revenue stream (they share royalties) while using their skills to build the brand.
To be sure there a many different concepts that appeal to investors and transitioning executives. The trick is to learn the variety of franchise business models and then narrow down to those concepts that appeal to your background or overall comfort level.