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Five don’ts to avoid when starting a franchise

Many people’s dream is to run their own business – to hone in on a passion and let the world know. One way to accomplish this, is to start a franchise.

There are dozens of do’s and don’ts when it comes to starting a franchise. In this blog, let’s focus on some of the major mistakes to avoid.

Bold and different: Lessons from Tesla's anti-franchise movement

It is no secret that Tesla Motors has made significant strides within the automotive industry. They capture the idealistic image of modern American liberalism. Elon Musk, Tesla’s CEO, is recognized for implementing boldly innovative strategies that defy against the traditional approach of other automotive competitors.

Tesla adapted a unique sales strategy that supports a direct relationship with the consumer. Conservatives worry that this type of business model poses a monopolistic threat to other competing retailers in the industry.

How to prevent disputes between business partners

Starting a new company is full of challenges, especially if you are sharing the business with a partner. You have to find a way to maintain the relationship while keeping the company afloat in the current economy.

Luckily, there are ways to keep tension away from your business partnership and keep your business running smoothly.

Common mistakes new franchisees make

Singing a contract to become a new franchise owner can be an exhilarating experience that could offer many benefits if you have the right conditions. Many have often seen decades of success, but the less fortunate ones could see their efforts fall apart within a couple of years.

Owning a franchise is a delicate process that can fall apart even with the simplest of mistakes. New Jersey franchisees need to prepare themselves thoroughly before signing a contract to become a new owner of an establishment.

Succession planning for the next generation of franchise owners

Only 30% of family owned franchises will survive after the owner retires. Furthermore, it is estimated that only 10% of franchisees have succession plans in place. Do you have a plan in place for your children to take the reins once you retire?

What is succession planning? Is it just about retirement? Succession planning is much more than retirement. Transition plans identify specific tasks and timelines that will ensure the smooth transition of business operations and management to the next owner. The prime goal is ensuring order and continuity of the business during all stages of the change. But how does one accomplish such a goal?

Female franchisees on the rise

Over the past year, a focus on women has spread nationwide, even making local waves here in New Jersey. While the dialogue mainly featured harassment topics, discussion of female empowerment in the workplace went hand-in-hand. Women deserve the opportunity to have successful careers.

In fact, women became franchise owners at a higher rate than men since 2011, according to the popular franchising “matchmaker” service FranNet. The growth is significant, considering that women own an additional 7% of total franchises than a decade ago.

What to do when the IRS audits your business

When reading the letter from the IRS alerting you of a business audit, it’s normal to get nervous. Even if you and your advisers had the best intentions when paying taxes, an audit can surprise you. You may start to wonder if an undetected miscalculation could harm your company’s financial health.

An audit does not always mean that your business is in legal or fiscal turmoil. In many cases, the IRS finds no major fault with taxes and resolutions can have minimal impact on the business.

The contract: what new franchisees should consider

When you become a franchisee, you sign a legally-binding contact with the company. Once you sign the contact, you are bound by its requirements, and are stripped of your autonomy. This does not mean that you should not sign a franchise contract, it just means that you need to carefully consider the offered contract before signing.

In general, franchise contracts are lengthy, complex documents that can be difficult to wade through and comprehend. What should you consider before you sign?


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