The U.K. is increasingly becoming a country of enterpreneurs.
Growth has outstripped other major economies, the unemployment rate has fallen, employment is at a high, the fiscal deficit has been reduced, and financial sector resilience has increased, the IMF said in a report this week.
The IMF also reported that steady growth looks likely to continue over the next few years, and inflation should gradually return to its 2% target.
In a recent article in CityAM, it was suggested that the strength of our economy made it a lot less risky to start a new business venture.
Around 600,000 new businesses were started in 2015, showing the appetite for people to solve problems and improve consumer experience.
The latest FSB report has some interesting statistics:
- Small businesses accounted for 99.3% of all private sector businesses at the start of 2015 and 99.9% were small or medium-sized (SMEs).
- Total employment in SMEs was 15.6 million; 60% of all private sector employment in the UK.
- The combined annual turnover of SMEs was £1.8 trillion, 47% of all private sector turnover in the UK.
- SMEs account for at least 99% of the businesses in every main industry sector.
When starting a new business, there is the choice of purchasing a franchise, or going it alone and starting from scratch.
Here are our top 5 reasons to choose a franchise:
1. Be in business for yourself, but not by yourself
When purchasing a franchise, you are buying a template for a proven business model with all the back up, training, and support you need to give you the optimum chance of success.
At Belvoir, we have staff dedicated to providing training and on-going support to franchisees. This means you're not working in isolation when building and running your business, and there are experienced people on the end of the phone or email to help and support you when you hit a challenge or need a bit of input to help you move forwards.
Take a tour of our Head Office and meet the team who supports our franchisees
Overview of Belvoir Training Department
The three stage training journey of franchisees
2. Leverage an existing brand
Possibly the greatest thing not to under-estimate about a franchise is that the company should have already built a national brand that has value in the eyes of your target customer or client demographic.
A large and successful company like Belvoir is already known and this gives you an immediate head start when you come to launch your business. It also means that consumers trust your business, something that can take years for a start-alone business to achieve as Martin Bunney of Belvoir explains in this short video:
3. Banks love franchises!
It has been statistically proven that 90% of franchises are still in operation and profitable after two years, whereas only 20% of stand alone business are still going after that time period.
This means banks regard financing franchises as less risky and they are typically willing to lend up to 70% of the costs involved in buying a new franchise, meaning that you minimise your personal financial input to typically 30%, reducing your own personal risk.
Belvoir has been advocated by NatWest Bank as a bona fide franchise and their franchise speaker explains why:
You can find out more about NatWest "How to evaluate a franchise" seminars >>> here.
4. Exclusive territory
When you buy a franchise, you are buying an exclusive territory to operate in. No other franchisees (within your franchise system) can operate within that area.
As Andy Smith explains, Belvoir work with the franchisee to create a "bespoke" territory that will fulfil the aims of the franchisee:
Being within a franchise network will always offer more opportunity for growth. Once you have opened your first business, and got that up and running successfully, then you can consider becoming a multi-franchise owner and scale up with new territories.
Belvoir has been in the news recently because we have also been proactively acquiring other businesses for our franchisees, and also helping finance them with our own funds.
The Brighton and Hove Belvoir franchise, which took over that office less than a year ago, recently acquired a property portfolio which almost doubles the size of their business.
The acquisition was supported by a £40,000 loan from Belvoir.
Similarly, the Belvoir Southampton franchise, which has been in operation for two years, completed in late 2015 on the acquisition of Langford Charles, a lettings and estate agency, supported by a Belvoir loan of £78,500.
Both loans are repayable over three years.
Together these acquisitions are set to increase the Belvoir network revenue by around £250,000.
Both acquisitions are in line with Belvoir’s policy of providing funding to support its franchisees.
Belvoir's Commercial and Franchising Director, Dorian Gonsalves, comments:
"By constantly seeking out acquisition opportunities and supporting our franchise owners, Belvoir is in a very positive position to continue to establish the brand and grow our network nationally".
Any questions about Belvoir, then please contact Andy and the team who would be delighted to speak with you.
Belvoir is an award-winning estate and lettings agency with over 200 successful offices around the U.K. If you would like to talk about being our next success story, please call us on 01476 570000 or email us on firstname.lastname@example.org
You can also follow us on twitter and discover more on our YouTube channel.