There’s no better way to start a business now than through franchising, according to officials of the Association of Filipino Franchisers Inc. (AFFI).
“During economic crisis, franchising is something tangible [that] people can control amid uncertain times,” Richard Sanz, the association’s public relations officer and Bibingkinitan owner, told reporters at a briefing on Tuesday.
Rommel Juan, association president and Binalot owner, said franchising was the “most practical and least risky route for entrepreneurs to go into business,” as franchises are “trusted businesses with proven concepts and operating models.”
“Those who do not have any experience with business are thus spared of the difficulties of having to start up their own, which is a more risky and difficult route. Franchises are like plug-and-play businesses that enable entrepreneurs to start their business right from the first day of operations,” Juan explained.
Sanz said a recent study shows that franchises in the country have an about 95-percent success rate on the initial year of operation, while about 80 percent of startup businesses have failed in their first year.
Association officials said the payback period for franchises was about three years on average; while for food franchises, the payback period can be even faster at about two and a half years. The payback period is the time it takes to earn back the invested capital.
from http://pinoyoverseas.net/news/business-economy/franchising-robust-despite-global-crisis/
“During economic crisis, franchising is something tangible [that] people can control amid uncertain times,” Richard Sanz, the association’s public relations officer and Bibingkinitan owner, told reporters at a briefing on Tuesday.
Rommel Juan, association president and Binalot owner, said franchising was the “most practical and least risky route for entrepreneurs to go into business,” as franchises are “trusted businesses with proven concepts and operating models.”
“Those who do not have any experience with business are thus spared of the difficulties of having to start up their own, which is a more risky and difficult route. Franchises are like plug-and-play businesses that enable entrepreneurs to start their business right from the first day of operations,” Juan explained.
Sanz said a recent study shows that franchises in the country have an about 95-percent success rate on the initial year of operation, while about 80 percent of startup businesses have failed in their first year.
Association officials said the payback period for franchises was about three years on average; while for food franchises, the payback period can be even faster at about two and a half years. The payback period is the time it takes to earn back the invested capital.
from http://pinoyoverseas.net/news/business-economy/franchising-robust-despite-global-crisis/
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