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Expanding a Business Internationally Through Franchising.
Companies will more often than not choose to expand in their domestic market first, and franchising is a tried and tested formula. Expanding a business internationally can work for as an alternative route to market. Rather than concentrating on finding a series of sales people, distributors, or concentrating on finding the right staff, many hugely successful companies have expanded by finding the right master franchisee for their chosen market.
The benefits can be enormous. The master franchisee will have responsibility (eventually) for the day to day operations for a given area ( usually regional/ national) and for recruiting new franchisees into the network. The master franchisee benefits from the proven business model and is financially dependent on the success of the venture. The franchisor ( the overall owner of the business) benefits from a committed partner with local experience.
To franchise your business successfully, you will need some experts in their field.
You will firstly need to engage the services of a franchise consultant. This organisation will help with almost everything, from researching the market, to adapting the franchise manual, to advising on setting the price for the franchise (the franchise fee). Specialist franchise lawyers will help with the franchise contracts and there are consultancies that will help throughout the recruitment process.
Specialist franchise recruitment media will promote your business and put your proposition in front of a relevant audience
Different countries have widely different laws relating to the franchise industry and a lawyer who knows the market is essential. Within the United States, different states treat the franchise industry differently, so choose carefully.
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