Joel Libava
Most of time (when I’m out and about), whenever I share what I do for a living, I’m usually asked this:
How much does it cost to buy a franchise?
In this post, I’m going to answer that question.
How Much Does It Cost To Buy A Franchise Business?
It depends on the type of franchise business you’re interested in owning a operating.
For instance, are you interested in owning a:
- Food Franchise
- Retail Franchise
- Business-to-Business Franchise
- Home-Services Franchise
Case in point; a food franchise.
Let’s say you have your eye on owning a Burger King® franchise.
According to Business Insider, your total upfront cost will range from $1.9 million to $3.3 million for a free-standing restaurant.
So, now that you know how much it costs for a food franchise like Burger King, are you interested in taking the next steps?
In contrast, if you’re still interested in buying a fast food franchise, you may want to take a look at buying a few Subway®franchises. That’s because they have a lower total investment.
Oh…wait. You weren’t interested in buying a Burger King franchise or a Subway franchise? Or any food franchise? No problem. Let’s try a different type of franchise.
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 – $105,000 Cash or liquid assets*
$400,000 net worth
*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-$275,000 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, business-to-business franchises may 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.
So, if you’re outgoing and you have top-shelf sales skills, a franchise in the business-to-business space is certainly worth a look.
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?
Wait.
Hold Your
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
