Author: grsjones

The majority of individuals who start a business through Franchising are coming from Corporate America where they have worked for multiple bosses and broad structures that dictate their positions.  People who start a franchise typically are looking for freedom that offers them the ability to make their own decisions, work with whom they wish, and have the ability to make as much money as one desires. That doesn’t mean that leaving a Corporate America doesn’t come without risk and has a place for everyone that has dreamed of business ownership. I’v mentioned a few below for your review.

WORKPLACE INDEPENDENCE

Corporate jobs are not known for their independent structure and employee autonomy. Even if you’re a particularly skilled employee, there’s a good chance you’ve got to answer to somebody about your work in a corporate environment. When many people leave corporate jobs, they do it to find a bit more freedom, flexibility, and independence in their work. Starting a franchise can give people who still want and need to work the ability to control growth and work without the strict corporate system in place above them.  Individuals find themselves working with a franchise team and making decisions that have a positive effect. For many people, simply running the show instead of answering to somebody higher up is a big relief.

STARTUP COSTS

Building a franchise can be exciting, especially for people leaving the corporate world and running their own company for the first time. One of the biggest challenges that many people face right away is the startup costs that often come with a franchise. If you’ve saved money, have investors, or can take out a loan, startup costs may not be a big deal. For many people, though, startup costs can be the first negative when it comes to building a franchise.  It’s best to evaluate all options when it comes to being able to afford a franchise and come to a conclusion on what you are comfortable with.

POTENTIAL FINANCIAL FREEDOM

1. When you start a franchise, the sky really is the limit in terms of growth. If your first location is successful, then you can expand In fact, this is what many franchise owners who do well and enjoy the franchise experience do.

That could mean financial freedom for you and a completely different schedule than you’re used to. Depending on your role in the business and the type of franchise you’re running, you may be able to work limited hours in your initial location, and simply run it from the financial side. That’s what many people who are looking to get into franchise ownership are aiming for down the road.

POTENTIAL MONEY PROBLEMS

Unlike working at a corporate job, starting a franchise requires you to spend money to build a business infrastructure. From buying into the franchise to paying rent and employees, the financial costs will be your own for the first time. You also won’t get a steady paycheck when you start a franchise. You may be able to make more in the long run, but for some people, the fact that they won’t be getting steady pay makes franchising difficult or impossible. Before you take on a franchise, make sure you have a solid financial plan to see yourself through the early stages of ownership. Speak with franchise advisors to get a complete view of what the financial commitment would look like.  As well, look at all the options that one may have to capture capital to invest in a business.

EVERYTHING YOU NEED

Starting a franchise can be incredibly exciting and rewarding, but leaving your corporate job can be a scary proposition. The Franchise industry is vast and robust and for many people looking into franchise ownership, it can be very confusing. Just take the time to make sure buying a franchise is right for you before you make the leap. It’s important that you utilize others to help you work through the maze of information, so you can bring clarity to whether it makes sense to join a Franchise or not.  Companies like Joshco Partners act as mentors to those that are considering Franchise ownership, and most services are free to the individual looking.  Take advantage! For more information about the pluses and minuses of Franchise ownership, contact Joshco Partners today!

Research released by economics professor David Neumark at the University of California, Irvine noted that workers over 40 are only about half as likely, or less, to get a job offer than younger workers if employers know their age.

When managers could determine an applicant’s age group, those over 40 were between 46% and 65% less likely to get a job offer than those under 40.

This is by no means the first study to show age discrimination. Previous research has also shown that managers show bias, unconscious or otherwise, against older workers.

A lot of workers over 50 are looking for opportunities to continue working and being productive, separate research from the progressive Economic Policy Institute, a labor policy think tank, concluded. The share of people working outside of Corporate America who were ages 55 to 64 increased to 22.9% in 2017 from 18.8% in 2005. For people aged 65 and older, the figure rose to 14.1% from 8.5%.

For some older people, independent contracting and/or Franchise ownership are attractive ways to extend ones working relationship within society and to  earn income after they have left the full-time workforce. The difference being that Franchise companies participate in the success of individuals looking to build a future for themselves versus on your own as an independent contractor.

Meanwhile, data from a recent Gallup nationally representative survey program found that formal employment rates plunge once people enter their 50s, but self-employment rates skyrocket. That’s based on surveys with 61,000 people conducted between May 2018 and March 2019 as part of the Gallup Education Consumer Pulse Survey. About two-thirds of those surveyed were over 50.

About a quarter of those still working age 55 to 59 are self-employed, according to a separate analysis conducted by researchers Katharine Abraham, an economics professor at the University of Maryland, and Brad Hershbein and Susan Houseman at the W.E. Upjohn Institute for Employment Research.

“Roughly one-quarter of those self employed age 50 and older work for a former employer,” they added. This raises the issue that they have been shuffled out of the door as a result of their age — or simply to get them off the company health plan before they start costing too much money. Among those over 50 working as “independent contractors,” most told Gallup they were doing it mainly because they need the money.

Being self-employed can go both ways, experts agree. Most of those who own their own businesses like being their own boss, the researchers said, and many who work as independent contractors prefer it to full-time employment, especially because of the flexibility it may give them

What you can do now.

Work with a good advisor who can identify opportunities, you will find that you have some significant bargaining power at this time. Joshco Partners has decades of experience in franchising from both franchisor and franchisees sides of the business. If you see this time of uncertainty as a time to seize the opportunity to own your own business and you want expert guidance, contact us today to get started.