Some Basic Information About Smoothie Franchises
The smoothie business has grown in popularity lately. Statistics show that the sales are increasing year by year and forecasts indicate that sales will increase further in the coming years. The reason for this is because more individuals know the advantages of a healthy lifestyle and have taken the necessary measures to live such a life. People know smoothies as nutritious beverages hence they are becoming popular as consumers drink them as meal replacements, after workouts or as snacks. A number of people who have an entrepreneurial spirit have taken advantage of the popularity and have ventured into smoothie franchises making great earnings.
There are several smoothie franchises these entrepreneurs can select from. Nevertheless, you will find special requirements that the business proprietor must meet to get a franchise. First, they should have some liquid capital of amounts that range from $50,000 to $250,000 depending on the brand of the franchise. For people who cannot raise the liquid capital, they can apply to get a business loan but this option demands lots of consideration. Another fundamental requirement is the individual’s net worth which should be $100,000 at the least. Apart from these, they must have an interest in the food industry and be able to manage a business.
Smoothie businesses have both benefits and drawbacks. The most obvious benefit is the name recognition that your business gets. Customers are inclined to buy from a brand they are conversant, so a franchise comes not only with not only with a name but with the customers also. Not only does the business owner get an established brand but they get support from the franchise in the form of training in managing the business and procuring the ingredients and supplies. Even for first timers, there is less work involved in establishing the business and marketing their products as these resources are already provided. However, these advantages usually do not come cheap. The entrepreneur must pay monthly franchise fees and a franchise fee which amount to about ten percent of the gross sales. There is a less demand for creativity and innovation when having a franchise because the franchise owner is obligated by the terms of the contract. They should adhere to these terms notably on menu offerings and marketing.
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The decision on whether to franchise or not is dependent on how the business owner wants to run their business. If they relish pressure and risk and desire some flexibility, they can opt to come up with their smoothie brand and refuse the offers from smoothie franchises. On the flip side, if they favor less pressure, more stability and organization then they should choose to franchise.
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To make the best decision, it would be prudent for the business owner to learn more about Smoothie franchisees.