Advantages and Disadvantages of Owning a Mobile Franchise

In the past few years, the trend of a franchisee owning several outlets, i.e. multi-unit franchising has rapidly been increasing. This change and increase in a different trend than the previous one of owning a single-unit has challenged this old model.

courier franchise

This multi-unit franchising does not require you to have a conventional franchise that is round the corner of a specific busy neighborhood. Or specifically be a part of the other food franchises network and perhaps even a coffee franchises. It can conveniently take place in a number of other categories like for instance van-based franchises widely known as the mobile franchise.

So for all those who aren’t aware of how exactly these mobile franchises work and how they would or wouldn’t benefit you, here’s a compilation of a mobile franchise’s pros and cons.

Let’s look into what makes these mobile franchises an appealing model for many.

Pros of a Mobile Franchise

• Due to the fact that franchisees are already aware and familiar with the franchise’s operations, one wouldn’t have to teach and train them from the very scratch. Instead, all that needs to be done here is impart brand based education.

• When it comes to getting approved for a bank loan, franchises hold important significance and have a better prospective repute to be accepted for the required loan considering the fact that the borrower has maintained a considerable track record along with assets that can be offered as a guarantee to the bank.

• A franchise, be it a spectrum of coffee franchises, food franchises or any other van-based franchise, will naturally have more than a single source of income for you.

• For most items, most franchisees will be able to get huge discounts or purchase on reasonable whole-sale rates as they can order at a single time for all their outlets.

• Franchisees can also use any previous office space and save cost spent on administration.

Cons of a Mobile Franchise

• In case one of the outlets isn’t doing very well, others can also get affected by it.

• When a franchisee opts for a multi-unit franchising, it is inevitably more time consuming as it would be a challenge to manage a bigger fleet of staff.

• The franchisee is expected to be apt and be equipped to handle multiple operations smoothly.

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