Joining quickly to the labor market or achieving economic independence, assuming the role of a successful entrepreneur, representing the interest of numerous people… All of this is possible when the decision is made to start a business where it is supported by a profitable franchise format.
Every day new successful franchisees are created all over the world. This trend will continue well into the future, since profitable franchises represent an alternative that guarantees the profitability of a business and, with it, the business success to which many aspire.
On the one hand, profitable franchises are based on a proven business model
, one that you are not investing in like you would a new business; on the other, there is proven profitability and business success
, since profit margins are high.
If a person feels the desire to take on new challenges in their life, they enjoy taking risks, marking the route to success, they are passionate about business, committed to strengthening their management skills and dedicated to take the necessary time to manage their own business, then a profitable franchises will most definitely spark their interests and in doing so, focus their attention in this particular business format.
In this way, entrepreneurs excel with profitable franchises every day. This option gives the greatest number of advantages and certainties on profit and investment return, when compared to the greater risks that revolve around the development of an independent business idea which normally occurs by starting from zero, implying greater efforts, greater investment, and consequently, greater risks.
The basis of profitability from a franchise
When putting into practice a business idea, or selecting where to invest according to your area of interest, the point of greatest analysis is related to the most important point, profitability. One of the greatest concerns of those who are making investment decisions is precisely how and when they will recover their investment.
Well, it seems reasonable to research investment alternatives when seeking entrepreneurship. What better means than in a business that is already running, one from which you can obtain references regarding its success in the market, which can be induced into being a profitable business. Due to this, the interest of entrepreneurship, for many people can be encouraged to venture into a business areas where companies are offering access to participate and ownership through one of the many profitable franchises, such as that represented by IceCoBar (in the sector of ice cream parlors, profitable franchise company) of which you will soon have all knowledge about in the course of this reading.
In general terms, the profitability obtained in a franchised business is greater than what can be expected to be achieved in a similar business but developed independently. Franchises with low profitability? Those do not exist! This assurance is based on several aspects which are considered as elements that guide the consistency of profitability of a given franchise.
The initial investment for the initial infrastructure is considered minor
, since it is based on an optimized model due to the experience that each new establishment represents. Sales are higher
, as they are induced by a centralized activity in marketing and advertising, guaranteeing higher revenues. In addition, the franchisee is assured of having an image and brand that are widely recognized
in the market. Likewise, the product that develops has a degree of differentiation and development, which is considered superior, which is why a rapid positioning in the sector is achieved.
Another important aspect that shapes the profitability scenario is the distribution of core costs
. Being part of a franchise means that purchases are related in greater volume amongst all franchised units which means lower costs for you!
To illustrate the situation of central costs that are distributed, we can mention the case of marketing campaigns. The costs associated with this activity are divided among the total units sold. So the greater the number of franchisees, the cost per unit is lower. Each time a new store is added to franchise, the cost per unit sold for the rest of the franchisees will be even lower.
The diverse options and sectors in which you can undertake
For those who feel motivated to develop a successful company, the possibilities in the field of profitable franchises are broad. There are many companies that are offering a great diversity of businesses in profitable franchise formats. It seems almost impossible to find an economic sector in which the opportunity to invest in this format is not considered. In this scenario, the following sectors can be mentioned:
- Food and beverages
- Automobile and cars
- Cosmetics and perfumes
- Aesthetics and beauty
- education and training
- Training Gyms
- Food & Hospitality
- IT and websites
- Real Estate
- Marketing and Communication
- Offices and recycling
- Mobile telephony
In addition, it is interesting to note that these opportunities can be broadened by considering that those sectors that have just been mentioned can be divided into subsectors, further divided according to the specificities of the products that are marketed.
From the above, in the food and hospitality sector there is a enormously large number of businesses that are offered in profitable franchise formats, and as an example it is important to mention that the IceCoBar franchise is present in the ice cream subsector.
IceCobar has been in the market since 2016. A young and dynamic company much like the team of people that represents it. It has differentiated itself from the competition in this sector, due to its marked success in sales and profitability thanks to the quality and innovation present in each product: ice cream made cold -20 °C.
Why start with one of the profitable franchises?
In the case of IceCoBar, it is illustrating the opportunity to succeed and make profit based on the fact that you are undertaking with the support of a profitable franchise. IceCoBar is positioned in the ice cream sector and its product is offering a totally different way to present ice cream differentiating itself from its competitors by the spectacular way in which it is made.
The company has experience
with which it can train any new candidates to become franchisees. In doing this it is strengthening the business management skills of all new potential candidates. In addition, it offers the entrepreneur to own their own business, ensuring the success of it (since the profitability is high and is a proven business model) with a recognized brand and image
, as well as other relevant aspects that are explained when selecting some of the profitable franchises.
This profitable franchise IceCoBar, is presented as an option of interest that allows the entrepreneur to achieve their aspirations of financial freedom
or self-employment in a fast and secure
way for their economic and personal growth. It covers the expectations in terms of profitability and success of the business, which implies that it can be undertaken as a successful business
, since it reduces the risks that are associated with the investment when starting a new business independently.
How to become an IceCoBar franchisee?
IceCoBar, the ice cream franchise which represents the most innovative product on the market, is always in search for entrepreneurs with a customer service orientation, and a willingness to manage a highly profitable business and constitute a project that every day is achieving greater positioning in the ice cream market.
if you have a place from 20 square meters with the facade facing the street, has high pedestrian and tourist traffic, you can be a potential IceCoBar franchisee. But the company has different plans for other types of premises in which the franchise can be developed:
- IceCoBar Kiosk to be located in a shopping center, between 10 and 20 m2.
- IceCoBar Take Away: A small room, between 20 and 60 m2, with high tables and stools, as the most interesting option in areas of high flow of people.
- IceCoBar Food Truck, increasingly popular to visit all the fairs and festivals in the country. A more demanding investment but without rent and recurring expenses, an exclusive IceCoBar product.
All this information and more, can be obtained in the dossier that the company has prepared and can also be downloaded from this page.
To be one of the new IceCoBar franchisees that are entering the ice cream market, all you need to do to start is complete the contact form that you will find on this page and "in less than 2 working days you will receive all the economic and legal information". This is the first step to obtain all necessary information. IceCoBar can then contact the future franchisee, providing their advisory service for the selection of the premises. By having the selection of the premises ready, we proceed to the signing of the franchise contract and start the adaptation of the premises and jointly the training program.
Are there existing risks in profitable franchises?
Starting a business that has already been tested significantly reduces
the risks. But, as in any business, risks are present in various forms. When undertaking an economic activity in the franchise mode, the franchisee is also exposed to a series of risks that can be minimized if the desire and motivation to succeed is consistent. Profitable franchises reduce the risks,
but it is not the formula with which these can be eliminated.
The entrepreneur who decides for a franchise instead of building a particular business from scratch and according to their interests, is considering the security offered by this modality and at the same time is able to use a brand that is already recognized in the market. Due to this fact the business can achieve the goal of selling much more product, in addition to having a structure of lower unit costs and the assistance provided by the franchisor company.
A new establishment of a franchise may present risks associated with management problems, or external factors, however these are are difficult if not impossible to foresee.
It is clear that if the recommendations or rules on the operations of the business are not followed, mistakes will be made that may influence the profitability of the business, even diminishing its competitive capacity.
Likewise, a business plan prepared without the proper depth of analysis can represent a risk. The location of the establishment and the market analysis are important when preparing this plan.
A franchise is supported by the company that has decided to grow and expand based on this concept. Profitable franchises benefit from a brand and image that is already successful in its market.
Therefore, the franchising company has abundant availability for advice, training and support, to keep risks to a minimum, as the failure of a franchise will affect its reputation, and even, the values of profitability of the company in general.
There is no franchise that is not profitable
, since otherwise, it would not have been established as a franchise, but the success of the business will depend in a significant proportion on how the business is managed, where the keywords are discipline, commitment and dedication.
Characteristics of profitable franchises
The franchise’s have characteristic elements that are common amongst all of them, and can be identified as:
- A constitution of a brand, which must be registered. Its use is assigned to the franchises to jointly carry out the advertising activity.
- A standardization of its operations and a business model which is securely established, taking advantage of the "Know How" of the franchisor company, reducing the associated risks.
- The exclusivity of a zone is granted for the development of a new establishment, during a determined time (contract period), generally this period fluctuates between 5 and 10 years.
- The profitable franchises benefit from the support in marketing activities, purchasing, logistics, training, consulting and information technology, which means an entire human team working behind the scenes to ensure the success of the business.
- In consideration for the conditions & benefits provided by the company, the franchisee must pay a franchise fee, royalty franchise, advertising fee, buy the company's product or service franchise.
- The franchisees are obliged to follow the method of work and management that has been standardized by the company, ensuring confidentiality and use the brand for their commercial activity with the appropriate protection of it.
Selection of profitable franchises
When selecting a franchise in the sector in which the franchisee has particular interest, there is a need to have some parameters that make it easier to identify the accessibility of the particular eye catching possibilities to know if they really are profitable franchises.
How to recognize it? To begin with, the company must make known or make available, the information of its financial results during the last two or three years. Using this information you can confirm that the company is committed to the development of franchises when it certifies a high profitability of the business.
In addition to the financial information, a good franchise can be identified when it offers a product with good development
, that is innovative, and they are committed in providing the initial training process with which it is continually supported during the period of the franchise, the management team stands out for his capacity for management, leadership and communication, and of course an economic offer
that does not give them the opportunity to think about starting his own business in a particular business.
It is also important that the business plan
be reviewed in order to recognize the future plan of the business for our own knowledge and work out the feasibility of growth. Another is the financial model
offered by the company; An individual must be convinced of being able to comply with the guidelines established in it, have the required investment and anticipate the ability to access loans in an unforeseen situation.
The market study
in the area or area of influence in which you want to develop the franchise project, will reveal information regarding the potential market that you intend to serve. It will also reveal the results on variables such as suppliers, customers, competition, and much more where the decision will be supported in relation to the selection of a franchise as an investment or entrepreneurship option.
Advantages and disadvantages of starting your franchise
If you want to start your own company and the decision is to opt for a franchise because there is a sufficient information that it supports a better alternative than starting a similar business from scratch, it is good idea to also be clear that this type of business presents some disadvantages, which must be evaluated and placed on a scale with all the advantages of the model.
Advantages of having a profitable franchise
- The business idea already exists, even with a systematized experience and a standardized management model.
- As a business unit, it can be up and running in a fairly short period of time.
- The risks are minimized.
- There is a high level of security as a business model and high profitability.
- The franchisee assumes the role of entrepreneur, so the individual is their own boss.
- Problematic situations are assumed in the company's experience, so that in response to a need, probably the answer already exists.
- The franchisee saves time in the installation of the business.
- The potential market recognizes the brand.
- The initial installation investment becomes lower.
- Access to training regardless of your previous experience.
- The franchisee has little margin for independent action as you must follow rules and procedures established by the company.
- It is necessary to pay entrance fees to the franchise and royalties, which affects the initial investment. The higher the profitability in a business, the higher the entry value.
- You do not get to own the property of the brand.
- All business activity are supervised by the franchisor company.
- The popularity and image of the franchise can be affected by the bad performance of another franchise of the same company which you as an individual cannot control
With an IceCoBar franchise, there are additional advantages you should consider in terms of what this company can offer you:
- Opportunity to own your own business.
- Conditioning of the premises: Adaptation, design and decoration.
- Quality and innovative products in Spain.
- Visual impact in the preparation of the ice cream, which creates an influx of interest from clients
- Brand: Recognition in the IceCoBar market as a leader in sales of cold-pressed ice cream.
- It requires few employees.
- Training: During a week in an IceCoBar installation, training is carried out.
- Continuous training before changes and improvements of the business.
- Continuous support: Accompaniment and permanent support from a member of the highly qualified team.
- Simple management: Business model to start immediately
- Return on investment: Investment range: From € 0 to € 50,000. Return between 12 and 18 months.
- Invoicing planned for the first year: 150,000 euros.
- Sales throughout the year: The combination of hot and cold products means that sales on ice cream are maintained during different times of the year.
- Monthly Royalty: 3%.
- Advertising fee: 1%.
- Duration of the contract: 5 years.
- Centralized supplies: syrups and mix for waffle and ice cream, containers and spoons for waffle, ice cream and beverages, brochures and loyalty cards, drinks and coffee, accessories.
- Promotion and continuous advertising on social networks (Facebook, Instagram and Google) and the company's website, www.icecobar.com.
- Display of attractive events.
- Help in person and by phone.
What value and profitability do profitable franchises provide?
By analysing the concept of IceCoBar, the entrepreneurial potential to be franchised, can access an original business model, good profitability throughout the year thanks to the variety of ice cream and proven success in selling their products made in cold plates, It attracts the attention of its customers while they are preparing them. In addition, the ice cream market is expanding and has a large market, captive and potential. IceCoBar represents an opportunity for entrepreneurship in ice cream franchises and which has the best market positioning against the competition, which is precisely due to the innovativeness of the product.
On the other hand, an IceCobar franchise supposes an investment smaller than that which must be incurred if the business model is developed in an independent format. In addition, the costs for advertising and purchases are also lower for franchisees, since they are centralized, and franchisees benefit from the economy of scale that is generated when making large purchases, reducing unit costs. their products.
How do you ensure success with a franchise?
To consolidate the economic activity of a profitable franchise, we must share the business vision that the company offers in it’s business plan, which for IceCoBar is "to provide moments and sensations of happiness to the customers".
This shared vision will allow the franchisee's growth process to continue, as long as the company provides the necessary support for the strengthening of management skills and customer service. This implies discipline, commitment and dedication on the part of the franchisee to uphold the standards of business operation, product quality and customer service.
For more information, get in touch with us by calling +34 954 968 121.