Understanding Business Formats
If you’re considering owning your own business, it’s critical to understand the major business formats, which MatchRight explores in Step 4 of the 7-Step Decision-Making Program. Here is an overview.
New Business Idea
Often, potential entrepreneurs have fantastic ideas – “a dream in a briefcase” – that can be extremely low or high-cost investments with major financial upside or potential downside risk. However, many of the best product or service ideas are underestimated and not properly analyzed prior to getting started. MatchRight provides a deeper insight into feasibility, funding, business plan development, strategic and operating plan development and financial pro formas to identify your break-even point and profitability.
Local Existing Business (for sale)
This represents immediate cash flows and income, often at a purchase price less than starting a new or franchise business. MatchRight takes into account all aspects of your decision-making criteria to ensure that you are not overlooking what may be an ideal match and unique opportunity within your local market for far less capital invested, better financing terms and more immediate and higher income.
Many potential entrepreneurs are not aware of independent business formats that can yield the lowest investments with long-term, profitable self-employment careers. You can be an owner-operator, manage-the-manager or investor in these businesses. MatchRight has researched and identified more than 1,000 unique industries and business classification opportunities to offer our clients maximum variety.
Franchise Business Format
Proven franchise business models can provide superior entrepreneurial opportunities. However, potential franchisees must also do their homework to understand how a franchise is sold, franchisee annual income and profitability, annual franchisee turnover rates, non-exclusive territory and more. MatchRight can research competing franchisors so you can see which franchise concepts that you’re most qualified to purchase.
There are hundreds of unique lower-cost opportunities throughout the United States, with investments ranging from as low as $2,500 up to $20,000 to start the business. These unique self-employed options can generate high levels of annual income and are frequently overlooked in the research phase by new, first-time entrepreneurs. MatchRight works with clients to explore and strategize on the potential acquisition of this type of niched business format.
With more than 3,500 registered operating franchisors in the United States, purchasing a successful or failing franchisee’s business with proper due diligence can often represent immediate annual income while side-stepping the rigorous start-up stage. It’s not unusual to purchase an existing franchisee’s business at depreciated asset values or as low as 30 cents on the dollar. This is a win/win, as a new franchisee ignites interest, passion, capital and training to kick-start the franchise business.