Franchising is a hugely popular business model in South Africa. It’s so successful, in fact, that it generates a whopping 14% of the total GDP. For entrepreneurs, franchises provide an invaluable short-cut to building lucrative operations. However, not all franchises – in all industries – have the same benefits. According to Tony Clarke, MD of the Rawson Property Group – one of South Africa’s most successful real estate franchisors – few industries can beat property for ease of access and earning potential. Here’s everything you need to know to decide for yourself if real estate is the franchise opportunity for you. What is a franchise “Essentially, buying a franchise means buying the right to run your business under an established brand using their proprietary tools, techniques and procedures,” says Clarke. In return for your franchise fee and a small share of your profits, Clarke says franchisees should receive ongoing support from their franchisor. “The franchisor is responsible for maintaining the brand’s competitive edge and – ideally – helping the franchisees reach their full potential,” he says. “The better the franchise, the better the support – you can tell a lot about a franchisor by talking to their franchisees.” Why franchises beat start-ups According to Craig Mott, Business Development Manager for the Rawson Property Group, franchises gain the edge over most start-ups by eliminating the biggest setup challenges. “No need to spend months – and millions – defining your brand, business model and strategies, or building market presence from scratch,” he says. “With a franchise, you’re buying into an established brand where all the groundwork has been laid for you. That dramatically reduces the time it takes to get up and running and bringing in clients.” Why choose real estate? According to Tony Clarke, franchises in real estate, specifically, have even greater benefits than those in other industries. “For starters, real …
Source: MyPR International

