Should you consider buying an existing franchise location? When you are getting into business for yourself, there are many factors to consider, from becoming an entrepreneur to joining a franchise system.
Choosing a franchise allows you to become your own boss without having to make every decision on your own. Becoming a franchisee provides a network of support that many independent business owners simply don’t have.
From having proven systems in place to working with support coaches invested in your success, choosing a franchise allows business owners the freedom to work for themselves with the benefits of operating within an established framework.
But when it comes to opening a franchise location, should you build out a new location or purchase an existing location? Understanding the opportunities and challenges of each can help you make an informed decision.
Established Location Benefits
Consider these benefits when looking to become a franchisee and whether a new build or an existing location would be a better fit.
- Quicker Turnaround. When opening a new location, franchisees often have a much longer wait time before being operational. There’s negotiating with landlords, working with contractors, and ordering furniture on top of marketing and hiring. When you choose to purchase an existing location, you are taking over a business that is already operating, which means that you can jump right into your new role with no waiting needed.
- No Start-Up or Build-Out Costs. There are many costs associated with establishing a brand-new location. Purchasing an existing location helps you avoid many of these hidden costs. Small updates are likely, but how much you spend to make an existing location your own is up to you.
- Established Client Base. Building a client base and enrolling new students takes time and effort, but existing locations have a roster of clientele, both active and inactive. As a new owner, you are able to reengage with past clients and introduce yourself to the existing ones, bringing your unique energy and experience. Oxford Learning’s proprietary CRM systems allow you to engage with clients continually at all points in the sales funnel.
- Community Connections. When you purchase an existing location, you are also purchasing years of community experience and established connections to schools, businesses in your area, and vendors. Having these connections already in place is a big time saver, allowing you to bypass many administrative tasks, community marketing efforts, and networking efforts.
- Established Employees with Experience. Purchasing an existing Oxford Learning location means that you are not only buying the four walls but also the people inside them, including an already established team of employees.
Keeping Current Staff Benefits:
Keeping the current employees saves you the time and expense of advertising, interviewing, and hiring new employees.
Staff will know the ins and outs of the operations and can provide you with valuable insights into managing your new location. As a new franchisee, you will receive initial and ongoing training from Head Office, but having staff already certified to work with customers is a valuable asset.
Get Started with Oxford Learning
If purchasing an existing franchise location is right for you, explore the available franchise resale territories with guidance from our expert franchising team today!