Franchising is emerging as a rewarding career option these days that offers financial security and great growth potential to the youth and aspiring entrepreneurs. Explore below to find out the viability of franchising as a prospective career option.
Considering the increasing ratio of Indian youth opting for franchise career during the past few years, it would not be wrong to state that franchising has evolved as a profitable career option. The franchise industry in India is growing tremendously at the rate of 35 per cent per annum. The growth in franchise industry can be attributed to various factors, like the entry of international brands in the Indian market via franchise route, national players opting franchising business as the route to expansion in various categories, and increased brand consciousness among Indians. All these factors have given a boost to the franchise industry.
Why franchising a better career option?
Franchising today has gained a mass appeal among the youth who are ready to explore the unconventional route to taste success. They are more willing to be entrepreneurs as compared to their earlier preferences to be doctors or engineers. Various companies are exercising the franchise route to explore opportunities across the nation, especially in the tier I and II cities, as metro cities are close to saturation in terms of growth. So, now companies are eager to penetrate into the smaller cities and rural areas to generate good revenues. The booming economy and increasing disposable income of the Indian middle class is also driving the franchising business industry towards new heights. As per Amar Chandhok, CEO, BBX India, “The franchising industry is growing tremendously and will be a very viable market in the next few years. I see a bright future of franchising in India with lots of international brand coming to India through franchise route, thereby providing immense franchise opportunities to the aspiring entrepreneurs.”
Franchising preferred for SMEs
Who does not want to own a business? With franchising business available to hand hold more and more youth is turning towards franchising. As Abhay Gupta, ED, Blues Clothing Company, “Franchising is the best way to be your own boss and get started with a lucrative opportunity that provides you with all the required handholding and support from the parent company to operate the business successfully.”
Contrary to Gupta’s opinion Rimy Oberoi, Founder, Oyster Learning opines, “There is lot of interest amongst the youth for the franchise businesses but as per my opinion only 30-35 per cent youth prefer to take a franchise business whereas rest of them still wants to go for a job rather than starting a business.” She further added than franchise business can be preferred over jobs in case of small and medium enterprises where an aspirant need to invest a little amount of money to get started with a business.
Supporting Oberoi’s opinion, Sam Chopra, Director, RE/MAX India says, “Franchising offers a better way in the SME segment as an aspirant does not have to invest a lump some amount to take up the franchise. So, it would not be absolutely correct to say that franchising is a better career option over a job as people who take up a job, usually do so because they do not have the wherewithal to establish a franchise business.”
There are many reasons that favour the franchise business against an independent one or a job, as majority of the franchise businesses are recession proof and offer immense growth potential that a job cannot provide.
Franchising rules over jobs or independent businesses
Franchising as an industry is flourishing with abundant franchising opportunities in various sectors such as automotive, healthcare, IT, beauty, retail, business services, food and beverages and so on. So, getting started with a franchise business can be advantageous in a number of ways compared to an independent business and job. For instance:
Thus, most of the franchisors have agreed with the fact that the franchise industry is growing rapidly and is increasingly becoming the most viable career option among the aspirants then taking up an independent business or job.
In short, the launch of franchised outlets in various formats such as Exclusive Brand Outlets (EBO), shop-in-shops, kiosks and so on requires both skilled and unskilled work force. If the industry continues to grow at this pace, franchising will surely be the business of tomorrow.