Question
Read Pro's & Con's of Franchising in Module 10 Resources, then answer the following questions: Your dream of opening a cafe and working side by
Read Pro's & Con's of Franchising in Module 10 Resources, then answer the following questions:
Your dream of opening a cafe and working side by side with your spouse and teenage daughter has finally become a reality. Early tastings of your personal recipes for dressings and sandwiches at the Saturday farmer's market have been met with rave reviews. You have saved a considerable amount of money and secured a letter of commitment from a local bank for a line of credit based on your business plan. The landlord of the present retail store is willing to pay for the build-out to make it suitable for food sales, and agreed to a three year lease beginning at the completion of construction. Other family members have committed to working part-time as needed, alleviating the need to hire help off the street.
While meeting with an equipment sales representative she recommends that you consider buying a franchise instead of going it alone. She puts you in touch with FOOD FOR THOUGHT CAFE who agrees to review your existing business plan to see if your vision matches its franchise business model.
Using the details provided above, how would your current plan for your cafe potentially change should you agree to buy a franchise from FOOD FOR THOUGHT CAFE? What type of franchise would best leave your original business plan mostly intact? Focus on just those plans outlined above (labor, recipes, financing, and physical location).
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