A franchise or franchising is a method of distributing products or services involving a franchiser, who establishes the brand’s trademark or trade name and a business system, and a franchisee who pays a royalty and often an initial fee for the right to do business under the franchiser’s name and system.
People think that opening a franchise business would cost a lot. It might cost a lot of time but not so much in terms of money. Who doesn’t know about Dominoes or Archies. These are all very well-known franchise brands currently active in India. Grocery 4u retail is an upcoming franchise supermarkets in India. So today we talk about how can one start a franchise business in India and make it a great success with the example of Grocery 4u supermarket franchise.
MARKET RESEARCH
Starting any business requires you to know the market thoroughly. Knowing how it works, what to expect what to offer is very important. Deciding the niche you’ll be catering to is extremely important. It is so because you can accordingly use techniques and methods to promote your service. You need to do proper research and select which meets your requirements. You can read about the Grocery 4u review before starting your own to see what and how to do it.
CAPITAL FOR INVESTMENT
This is the most important prerequisite for starting a franchise business. Setting up a franchise requires you to spend money on setting up the brand’s outlet, properly furnishing it, hiring staff and uncovering the operational costs for the initial few months. You will also need to share a portion of the profits with the franchiser. So having seed funding or capital money to invest is the prime prerequisite to keep your business afloat so that it can start turning a profit. For a grocery 4u franchise, investmentcost would be around 20-30 Lacs.
OWNERSHIP, LICENSING AND REGISTRATION
Starting your business would require several licensing formalities from the concerned industry to the business licensing. So these need to be sorted before you open the franchise in the public domain. Once all the formalities are done and completed it is advised to take over the ownership legally. During any legal procedure, it is important to have witnesses in order to avoid any chaos in the future.
PAYING TAXES AND MANAGING CURRENCY RISKS
This does not come as a shock to any business owner but paying taxes and filing your refunds on time not only makes you a good citizen but also helps you in keeping your franchise business out of any difficult situations especially if you are dealing internationally. Starting from GST to the custom taxes the range of taxation is wider so you need to understand and prepare for the different layers of taxes accordingly.
PROPER LOCATION AND HUMAN RESOURCE
Location of your outlet is not only a physical address but it also decides who will be your primary customer. Depending on your business you may want to consider buying or leasing a space. Your franchiser may be able to help you select the most profitable locations.
A franchise like any other business requires human resources so it is important for you to consider how many employees may be required at various stages of your business. The customer grocery 4u reviews clearly tell us how important it is to select the proper location for your outlet.
In conclusion, we can say that the profit out-margins the investment as seen with the grocery 4u supermarket franchise where the franchise cost is very minimal compared to the profit being earned. And opening a supermarket franchise in India is the most profitable franchise business seeing the marketable population of the country.
