If you are planning to open a restaurant, you have to choose between buying a franchise and starting a restaurant from scratch. If you are confused which one is better for you, look at the pros and cons and then weigh your options. Sometimes the right choice depends on your personality, experience and financial capacity.
Opening a restaurant on your own will involve a lot of hard work, research and learning how to run a restaurant efficiently. You will have to do a lot of work on your own and do your own marketing, training, and searching for affordable equipment and supplies. Starting from scratch can be tedious, but you will open a restaurant that is truly your own.
Franchises are expensive but anyone with just a little knowledge can start it because the franchise company provides training and support. The reason why you have to pay so much for a franchise is because of the benefits that come with being a franchisee. You won’t have to work too hard because you are practically buying a ready-made restaurant.
When you open a restaurant franchise you are supposed to get support from the main company, the main company. They should provide a system or management guidelines for you to follow. So, even if you do not have much experience in running a restaurant, you will be give instructions and training on how to do it. Usually their system is tried and tested and known to make the restaurant profitable.
You are buying into a renown brand when you open a restaurant franchise. People will just be waiting for your restaurant to open. You don’t have to figure out how to get customers because they are already familiar with your restaurant brand name. They know what type of food you offer and what kind of service they will receive because franchises have the same standard in all branches.
There are also disadvantages if you buy a franchise. One is the lack of freedom to run the restaurant the way you want to. Some franchise owners think they paid a large amount of money to open a restaurant but don’t have the freedom to buy cheaper supplies or to add and remove dishes on the menu. If you don’t buy your supplies from the franchisor, they may revoke your franchise and you would end up losing all the money you put in it.
Another drawback is the expense of getting a franchise chain. The franchise fees are usually horrendous that often times only wealthy businessmen can afford to buy a franchise. Franchises are expensive because you are buying convenience and a ready-made business. You are buying a well-known brand that you won’t have to market and promote.
Everything is ready to go when you purchase a restaurant franchise. Some people are fine with this type of arrangement while others feel trapped and restricted by rules. If you want to use your own ideas in your restaurant, then you may be better off starting a restaurant from scratch. Weigh your options carefully before you open a restaurant or buy a franchise because either way, you will be putting a lot of money into it.