Franchising – The Future of Business Expansion

What is FRANCHISING ???

Franchising refers to the methods of practicing and using another person's business philosophy

A franchise is a right granted to an individual or group to market a company's goods or services within a certain territory or location

FRANCHISING INVOLVES :-

Franchisor grants the independent operator the right to distribute its products, techniques, and trademarks for a percentage of gross monthly sales and a royalty fee

Franchisee is the an individual who purchases and runs a franchise . Various tangibles and intangibles such as national or international advertising, training, and other support services are commonly made available by the franchisor

Businesses for which franchising works the best !!!

Businesses with a good track record of profitability Businesses built around a unique or unusual concept Businesses with broad geographic appeal Businesses which are relatively easy to operate Businesses which are relatively inexpensive to operate Businesses which are easily duplicated

Advantages of Franchising

For Franchisees

Corporate image - The corporate image and brand awareness of the company is already established.

Training - The franchisor usually provides extensive training and support to the franchise owner.

Savings in time - Since the franchise company already has the business model in place you can focus on running a successful business.

Quick start - Starting up a new business quickly based on a proven trademark and formula of doing business, as opposed to having to build a new business and brand from scratch

Employment - Opening a franchise is a way of "owning a business"

For Franchisors

Expansion: After the brand and formula are carefully designed and properly executed, franchisors are able to sell franchises and expand using the capital and resources of their franchisees

Control: Allows venture investment capital without giving up control of the operation.

Operational considerations: Gives direct stake in the start up of the branded business and the tangible assets that wear the brand name

Franchise business in India

Franchising sector in India is growing at a swift pace of 35 -38 per cent per annum

The market size of the franchising sector is estimated to be US $7.2 billion and is expected to reach US $20 billion by 2013

Around 1,200 franchisee owners in the country, having more than 1,00,000 franchisees across the country.

Franchising In Education Industry in India

“Franchising in India is the new way of doing business. There has never been a right time for business owners to expand their education brand through franchising. Education is a

growing sector and offers potential business opportunities, where a huge part of it lies with the

educational concepts which can be spread through franchising “

Key facts

India has the world’s largest youth population which wants to receive quality education with world class training systems

With 17 per cent share in the organized sector education industry, India offers a huge potential for education entities looking to spread their concept in India through franchising and educating the young Indian population

Overview of the consumption patterns of the people on Education

Education is the second largest household expenditure after food.

Presently in India, not only middle and upper middle classes, but even the poor families spend 20 per cent of their disposable income on private schools and universities

Education market in India

Currently, 1.4 million schools in India providing education to over 200 million students

The market for coaching classes forms 64 per cent of the non-formal education industry

The tuition market forms 80 per cent of the total coaching class opportunity.

Education franchisee in India

Over 390 active education franchisee owners in India

Informal and supplementary education forms the lion’s share of education franchising.

Professional and vocational skills capturing almost 33 per

cent of the total share, followed by IT training

Adding value

“karROX BUSINESS CONCLAVE”Gateway to big business opportunity in education !! 

….. to explore the world of education business & discover the stage for realizing their dreams of venturing into training & education industry. The conclave provides the platform to present  an indepth karROX Training & Education Franchise opportunity.

For Further details visit - http://www.karrox.eventbrite.com/