A-Z Of Franchising: D Is For Disadvantages

As popular and successful that franchising as a business model is, it also has its own disadvantages. Although franchising may work for some types of businesses or people, it might be unsuitable for others. For business owners, the most obvious downside of franchise expansion is perhaps a loss of control in some manner. While for potential franchisees, an outlay of initial and regular financial payments to the franchisor would probably be a sticking point.

Related: Advantages & Disadvantages Of Franchising


Before jumping right into franchising or even disparaging it, whether as a business owner or prospective franchisee, it is important to fully understand what franchising actually means, and consider whether the potential disadvantages that come along with it are acceptable, when compared to other expansion or investment options.

See more franchise facts at A-Z Of Franchising!

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