Business Franchising – What They Are And How They’re Different From Other Businesses

Typically, a franchisee sells goods or services supplied by the franchisor (or that meet the franchisor’s quality standards). The franchise governs the method of conducting business between the two parties. The system is based on a mutual trust between the franchisor and franchisee, with the franchisor offering the business expertise (site location, training, financial assistance, marketing plans, management guidance, etc.)-and the franchisee serving up the entrepreneurial spirit and drive to help the new business franchise succeed.

The two types of franchises.
There are two types of franchises to know about as part of your franchise business planning: product/trade name franchising and business format franchising. The simplest format is when a franchisor owns the right to a name or trademark and sells the right to a franchisee; that’s product/trade name franchising. Business format franchising is a bit more complex; it involves a broader ongoing relationship between the franchisor and franchisee, in which the franchisor provides a full range of business services

By purchasing a new business franchise, you can often sell products and services with instant name recognition. You can also receive training and ongoing support for your continued success; just keep in mind that if you decide to start a franchise business, it’s an investment-and that comes with risks. In other words, even the best franchise business purchase is not a guarantee of success.

The power to be your own boss-for the most part.
A franchise generally allows you-the investor or franchisee-to operate the business. Your franchise fee, which may be several thousands dollars or more, buys you the format/system developed by the parent company, along with assistance and the right to use the name for a limited time. You might also get your location, initial training, an operating manual, marketing support and even personnel. In some cases, you may receive ongoing support in the form of monthly newsletters, seminars or workshops and even a toll-free 1-800 number for technical assistance.

At the same time, while buying a franchise business may reduce your investment risk by connecting you with an established, successful company, it can come with plenty of costs. First and foremost, you may be required to surrender significant control over your business-even while paying your contract fees to the franchisor.

So, there’s the two sides of the franchise-business coin. You benefit from an association with an established, well-known business and/or brand, you receive lots of support (financial and otherwise) and your overall investment risk is reduced. At the same time, you’re often required to relinquish control over a significant portion of the business-not exactly what many entrepreneurs have in mind when setting out to start their own businesses.

Real Estate Investing Tips – Contracts and Clauses

Getting out of a contract may require some work; however, it’s the premature work that needs to be performed if you want to have a smooth transition. The important and smart thing to do is inform the seller beforehand of any prior engagements like meeting with your business partners for the purpose of going over the contract. It would be best to schedule meetings with your business partner at least three days in advance for reasons that would prove to very necessary as business transactions are conducted. Doing this not only shows that you’re proficient in your business but it also shows that you’re well-organized and efficient.

In the real estate business you have what is called escape clauses; whenever one of these is necessary, you would want to utilize a standard or basic state contract with the alteration of certain words that would serve to benefit you. The type of contracts in which you present to sellers could be the determining factor in landing a deal. In certain places; like Florida for instance, they have what is called the Far Bar in which you’re allowed to remove certain information from contracts without being in violation. This is actually done to protect yourself and creates a way for buyers to make up to $1,000 in repairs as well as get the property listed on the MLS. The same principle is also use in cities like Washington D.C., New York and New Jersey.

The contract in which we write up are reviewed by a number of attorneys and have only appeared in court once. They have appeared on the closing tables of at least 250 transactions and it wouldn’t be a surprised if they’re not being copied by others. In any event, escape clauses are very important and we’ll cover the dynamics of them in this particular article, beginning with the items detailed in them.

The reason why they are called escape clauses is because they make a way for escaping out of certain situations or back out of them. There’s always a section in the contract that notes the amount of time in which one has to exercise such procedures. Everything will be based upon the wording. If you’re not familiar with real estate lingo, you will be taken advantage of if you don’t ask questions and seek answers from reliable sources concern the language used in real estate. A prime example is found in the use of “Buyer’s Satisfactory Inspection”. This implies that a “licensed” inspector must inspect the property and submit in writing why such property cannot be sold or is considered unacceptable.

Acceptance in 45 day period is crucial. The fact of the matter is, this is a cutthroat business. Regardless of how nice a person may appear on the surface, no one in this business enjoys losing money. If you’re incapable of sealing a deal in 45 days then this is where “acceptance” comes into play, as it is properly defined as the date the final signature is placed upon the contract. If time permits a “Final Corporate Approval” may be utilized and additional will be allotted for an extension on the contract.

Friend builder clause – whenever a contract is signed, sealed and delivered an agreement goes into motion for the residing tenants to vacate the premises before the closing date. In retrospect, you’re be helping them along the way but nevertheless they are committing to a closing date somewhere down the road after the tenants are out. This way the contract won’t expire on account of them being unable to evict tenants.

Clauses come a dime a dozen in this business and you’re not prepared for them, they can appear from out of nowhere and bite you right in your, you know what.

Wholesale Suppliers – How to Spot Bad Suppliers From Reliable and Trusted Suppliers

Completing a research or study before investing all of your hard-earned money and precious time is acting out of entrepreneurial wisdom. One way of doing a relevant research on it is knowing the right questions to ask. One of the most frequent questions I have always encountered from others who want to start with wholesale online business and from buyers, as well, is knowing how to find trusted wholesale suppliers. Do I just key in wholesale from my reliable search engine and I get to have a reliable list available? It is definitely more than this and let me equip you with the required know-how.

Of course, the supplier you are trying to find will depend on the supplies you will want to get from them. So before you go searching for suppliers, decide on what product or items to sell first. This way, you will not have to worry about choosing from jewelry suppliers if you have already decided to distribute clothing exclusively. At first, I was dismayed to find a lot of bogus suppliers with bogus offers. I wish I had someone tell me these helpful pieces of information before I started. That would have saved me a lot of useless clicks and nonsense hits.

But before you go click happy with searching, make sure you have an approved license to operate a home-based business. This will not only legalize your business but this will also allow you to keep track of your business transactions for record keeping. Most suppliers ask for a license number before transacting with anyone so it pays to have one available as soon as you find a wholesale supplier of your choice.

The conventional way of meeting reputable suppliers is through attending a trade show which is focused on your chosen business industry. Say, you want to invest in clothing, then a trade show for clothing will definitely include all giant suppliers in the clothing industry. Of course, it is during trade shows that you can meet, greet and exchange cards with any of these suppliers. But of course, you can still come up with more reliable contacts without spending on gas, saving time, in as fast as a snap of a finger. How? With just a click on the internet, you will have access to a long list of reliable suppliers around.

Card swapping at the comfort of your homes, yes, while sipping on your choiced drink of tropic pinacolada or even your breakfast milk. You will also have an extra advantage of immediately checking the legitimacy of any supplier with Better Business Bureau. With this resource, you can also easily access any history of great raves or complaints about any given supplier. You may want to keep an eye on suppliers who have more than one business name. Having more than one business name registered for a specific supplier may be one warning for a potential bad supplier.