Network Marketing vs Franchising – Is There a Comparison?
Before we started in Network Marketing (kicking and screaming as I was a real skeptic!), my husband and I seriously considered franchising as the option that might provide what we were looking for in terms of securing our retirement and finances outside of the airline industry.
At that time, we were not even SORT OF open to looking at network marketing. (Keep this in mind when someone tells you no!)
We even visited about 3 different franchise headquarters around the country. A few things were always a deterrent to actually jumping in –
1. Cost of Getting Started
2. Amount of investment needed to sustain while in growth mode
3. Time requirement, given that we had not yet started a family
We recently stopped in a coffee shop in Orange County and I noticed a brochure promoting franchising opportunities so I picked it up. We read over it and laughed at what was required, vs what has been required of us to build a network marketing business to a level that essentially offers much more in terms of both income and free time.
Here is what the brochure listed, with my network marketing comparisons listed in parenthesis –
Own Your Own Franchise –
Single or Multiple Stores (wow, I have thousands of “stores” with my networking business)
Proven Business System (same with Network Marketing)
High Repeat Customer Base (we have thousands of repeat customers monthly)
Fun & Friendly Environment (What is more fun than working in my yoga pants at home)
Established Company (Established and getting better)
Extensive Training (Can’t beat the training and support)
We Help You Get Started
Site Selection (That was easy, my home!)
Lease Negotiations (Well, you may have to jockey for space with your spouse!)
Store Layout and Design (Taken care of)
Inventory and Equipment Procurement (stop with the big words…we have online ordering)
Customer Service Training (What is your favorite product, my friend?)
Marketing and Advertising (We got that, Jim!)
Ongoing Support (Same here!)
Ownership Qualifications (Dude, we own it!)
Minimum Net Worth of $400k (Have a credit card with room on it, you are qualified!)
Liquid Assets of at least $125k ( we want to help you ACHIEVE this!)
Strong management, social skills (these will help, and can be learned!)
Estimated Initial Investment – ranges from $241,500 to $440,000.
Whoa! For less than $1000, in most cases , you can be in profit immediately! Read on…
Q. HOW MUCH IS THE FRANCHISE FEE?
A. The franchise fee is Thirty-six thousand ($36,000) dollars.
Q. WHAT IS THE TERM OF THE FRANCHISE AGREEMENT?
A. The term of the franchise agreement is ten (10) years.
Okay, so what would you rather do? Invest $1000 or so initially along with some ongoing advertising and misc dollars and be in profit VERY quickly, or invest anywhere from 1/4 to 1/2 million dollars and not be in profit for a few years and be committed for 10 years?
I’m thinking that might GET YOU committed……to the loony bin!
So, what is YOUR choice?
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ok well I know the difference between the two now at first, I thought that franchising was network marketing lol
With Franchising, you don't own the business-the business owns YOU!
satinder g lagta hai aap ke pass bht sari franchises hain
Yehi to mae keh rehi hoon-franchise headache hai. To mae kyu loongi?
With Franchising, you don't own the business-the business owns YOU!
Most people have don't have the money or time needed to start there own business. so looking into a Virtual Franchise makes sense and $$$$ to all who want to work for themselves.
Torrey, what kind of investment did you have to make to start up your new business?
Torrey, what kind of investment did you have to make to start up your new business?
Most people have don't have the money or time needed to start there own business. so looking into a Virtual Franchise makes sense and $$$$ to all who want to work for themselves.
my family is really interested in Coffee Franchise like Starbucks. we are still saving money for the franchise cost.”~`
Interesting since it will take the same skill set to make both successful but the opportunity to rock a direct marketing company starts day one! I see a lot of people “investing” in a MLM now a days… especially since they can find one they matches and suits their passion.
Great article Jackie!
.-= Tami Ross´s last blog ..National Bell Ringing Day – December 11th =-.
I am sure that in a few years time, network marketing is going to go mainstream. It is well on the way at present with the incredible growth of direct selling companies, in these financially difficult times.
I know that high earning internet marketers are now taking a serious look at MLM.
This is a no-brainer for me! Network marketing offers all the benefits of a franchise with none of the risk and very low investment. Plus, you don’t have to hang around a storefront, waiting for a customer to drop by. I’d rather be at yoga!
Network Marketing wins my vote hands down.
.-= Patty Reiser´s last blog ..Tuesday’s Digital Tutorial =-.
Fun, rewarding, inexpensive, and into profit quickly –
it’s a no brainer! I am so thankful for a network marketing opportunity that can really create something amazing for almost anyone. Great article Jackie!