Entrepreneurship in America is on the rise, as millions of current employees contemplate the possibility of becoming their own boss. According to recent statistics, there are approximately 31 million U.S. entrepreneurs representing 16% of today’s workforce. Why do people choose to become their own boss? Most favor the freedom, flexibility, and work-life balance that independent business ownership offers. But more importantly, most would-be entrepreneurs simply want more control of their own destiny and income-generating potential.
There are three different ways to become your own boss. You can start a business of your own from scratch, buy an existing business from the current owner, or purchase a franchise, which offers the most advantages. In essence, a franchise is a license to sell a brand’s product or service in exchange for an initial fee and ongoing royalties. Franchising is more than just fast food, as there are nearly 4,000 business opportunities representing every industry. Franchise owners are provided with the following advantages from the brand:
• Comprehensive training
• Close-knit, ongoing support
• A proven business model to follow
With franchising, you’ll be in business for yourself, but never by yourself. There are several factors to consider in exploring business ownership, and due diligence plays a very important role in decision-making. Here are four major determinations you’ll need to make:
• Discover what type of business you want to own
• Determine how you’ll finance your operation
• Assess the current marketplace and competitive landscape
• Determine the level of consumer demand for your product or service
When it comes to your future, business ownership of your own is one of the most important decisions you can make. Entrepreneurship takes a proverbial leap of faith, but last year alone, more than five million new businesses were registered in the U.S.—a 42% increase from pre-pandemic levels. Lastly, if you’re wondering whether becoming your own boss is right for you, a recent survey conducted by Fundera and NerdWallet found that 92% of entrepreneurs don’t regret launching their own business.
Blake Martin is the owner of FranNet of the Heartland, an Omaha-based consultancy that helps entrepreneurs explore business ownership through franchising. He can be reached at bmartin@frannet.com.
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