Most of time (when I’m out and about), whenever I share what I do for a living, this is what usually follows.
“Franchises are really expensive. I hear they really get ya with those franchise fees.”
Or, something like this:
“I hear you really need to have a lot of money to buy a franchise.”
Interesting. Where did they get that information? Are they right?
How much money do you need to buy a franchise?
Read on. That’s what I’m going to share in this post.
What Franchise Do You Want To Buy?
Let’s start here. What franchise opportunities are you interested in? It kind of matters.
$1.5 million net worth and $500,000 liquid assets.
Financial requirements may be substantially higher, depending on the transaction.
Now you know how much money you need to buy a Burger King® franchise. Interested?
Oh…wait. You weren’t interested in buying a Burger King franchise? Any food franchise? No problem. Let’s try another one.
Do You Want To Buy A Retail Franchise?
Maybe owning and operating a Plato’s Closet® or two is the direction you’re leaning. Let’s see how money you’ll need to buy a Plato’s Closet retail franchise. From their website…
Either individually or with a financial partner, our minimum net worth and liquid asset requirements are as follows:
$75,000 – Cash or liquid assets*
$175,000 – Equity or other assets to be used as collateral to obtain sufficient bank financing.
*Liquid asset examples include: cash, non-retirement stocks and bonds, etc.
In case you were wondering, total starting costs to open this retail franchise are $250,000 on average.
Could Plato’s Closet…or possibly a different retail franchise be right for you? Maybe?
Do You Want To Buy A B2B Franchise?
If you have good people skills, and great selling skills, a B2B franchise like this one could be worth a look.
Fact: Some B2B franchises are home-based opportunities. Think coaching and/or consulting franchises. They’re usually low-investment opportunities. So, how much money do you need to buy a b2b franchise? Answer: Some b2b franchises can be purchased for less than $100,000.
Are you outgoing? Are your sales skills top-notch?
If you answered yes, can you afford a B2B franchise opportunity?
Could A Home-Services Franchise Be Right For You?
Can you picture yourself owning a business with 3, 4, or maybe even 5 of your franchise brand’s vehicles performing services for homeowners in your protected territory, 5 days a week? If so, click the image below.
Owning a home-services franchise business is a great way to be your own boss. Especially one that offers more than one service. And, in most cases, opportunities in this popular franchise sector have total startup costs in the $100,000-$200,000 range. Would that be affordable for you?
Do You Have Enough Money To Buy A Franchise?
Before we go any further-have you determined if you have a enough money to buy a food franchise, a retail franchise, a B2B franchise, or a home-services franchise?
Do you have enough money for any type of franchise?
Are you spending hours on end looking at all sorts of different franchise opportunities not knowing if you can even afford them?
Check out Part 2 of this series about how much money you need to buy a franchise these days. I’ll be showing you exactly how to determine if you have enough money to buy the franchise of your dreams.
Top image: Marinus van Reymerswale – The Banker and His Wife-Wikipedia
Burger King, Wallingford, CT 5/2014, Pics by Mike Mozart of TheToyChannel and JeepersMedia on YouTube
Plato’s Closet image by Social Woodlands
How to Use a Franchise Opportunity Website
The 10 Commandments of Franchise Research
What You Need To Know About Franchise Consultants/Brokers