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          A Home-Based Business Online


          
           
            

           May 21

            Sent to 9,639 Subscribers

          Editor: Elena Fawkner
          Publisher: AHBBO Publishing
           http://www.shelteredturtle.com
           Contact By Email


           IN THIS ISSUE



        1.  Welcome and Update from Elena
        2.  Home-Based Business Idea of the Week - Gift Baskets
        3.  Feature Article - The Franchise Alternative
        4.  Tips for Newbies
        5.  Subscription Management
        7.  Contact Information



        1.  Welcome and Update from Elena


        Hello again and a warm welcome to all the new subscribers who
        have joined us since the last issue!

        The two day conference will be held in Reno, Nevada on September
        27-29 (Thursday evening to Saturday night). The cost is
        less than most one day Internet conferences - and the content is
        priceless.
         
        This price is lower than any such event I've ever seen so I
        encourage you to attend and have an absolute ball in one of the
        most entertaining spots in the world.
         
        Each speaker at the iCop Conference will be presenting material
        never before given at any other Internet conference. These
        speakers will tell you the real deal.
         
        They will speak about and demonstrate the very foundation of
        what has allowed them to develop successful online businesses -
        working from home.  Topics will cover ...
         
        How to Get Top Positions with Yahoo!
        How to "Brand" your business
        How to Build Dynamic Web Sites
        How to Use the "Right Voice" in Your Advertising
        How to Build Niche Markets
        Techie Stuff for Non-technical People
        and more.
         
        Not to mention that this is a highly entertaining group of top
        Internet personalities. Check them out at the URL below.
         
        If you are not an iCop member yet, attend this conference and
        receive your first year's membership absolutely FREE - if you
        wish to join. (Attendance does not require joining iCop.)
         

        This week's article is a revision of one I wrote last year on
        franchising.  I've just returned from the International Franchise
        Association's annual convention in Washington, D.C. and was
        struck by how many successful franchises there are out there
        ideally suited to the home-based entrepreneur.  Although buying
        into a franchise comes with a higher price tag than does
        starting your business from ground zero, it does minimize the
        risk of business failure quite significantly.  If you haven't
        thought about a franchise before, it may be a business format
        worth exploring.

        As always, thanks for reading and I hope you enjoy this week's
        issue.

        Remember, this ezine is for YOU!  If you have comments or
        suggestions for topics you would like to see addressed, or would
        just like to share your experiences with other subscribers, I want
        to hear from you!  Please send comments, questions and stories
        to Contact By Email .







        2.  Home-Based Business Idea of the Week - Gift Baskets


        The gift basket industry has exploded over the past few years
        and continues to be a consistent money maker for those involved
        in it. In many ways, it's the ideal business. You can run it from
        home. It's an extremely inexpensive business to start (you only
        need supplies and a marketing budget). The product is in demand
        (who doesn't like getting an artistic basket with fresh fruit, candies,
        or cheeses?). Competition isn't much of a problem (you can easily
        set yourself apart from the rest by producing specialized types of
        baskets). It's a dynamic business that is changing and developing
        with the times.

        One of the newest developments is the CANDY FLOWER BASKET.
        This is a new type of gift basket that will definitely set you apart
        from your competition. It's very artistic and creative, and pretty, too!
        The Candy Flower Basket is easy to make, and will turn heads
        wherever it is given.

        For the rest of this lengthy report, please visit
        http://www.shelteredturtle.com/giftbaskets.html

        -----

        There are many more ideas like this at the AHBBO Home
        Business Ideas page at free home based business ideas
        with more being added all the time.





        Should I buy an existing business or start one from scratch?
        Why doesn't my bank seem to care about my business?
        Where can I find money to back a GREAT idea?
        Is multi-level marketing really a good idea?


        3.  Feature Article - The Franchise Alternative


        © 2017 Elena Fawkner

        ANY new business involves risk. The proportion of new
        businesses that fail within their first two years of
        operation is much higher than those that succeed. Whether
        you can afford the risk of your business failing depends
        on your own individual circumstances. If you are continuing
        in full-time paid employment and your business is something
        you start in your spare time for a little extra cash to see
        how it goes before quitting your job, then you are more
        likely to be able to afford the risk of that business
        ultimately not succeeding.

        But what if you've lost your job, taken a package, and are
        looking for a business in which to invest the proceeds of your
        package? All of a sudden the risk of your new business failing
        looms very large indeed.

        One way of reducing that risk is to consider buying a
        franchised business.


        WHAT IS A FRANCHISE?

        Simply put, franchising involves the owner of the business
        which is being franchised ("the franchisor") granting to the
        person who wants to offer the products and services of the
        franchisor ("the franchisee") rights to use its trademarks,
        business names, associated intellectual property, know-how,
        business systems, training systems and operating manuals in
        exchange for monetary payment in the form of an initial
        franchise fee/purchase price and/or ongoing royalty payments
        which are typically calculated as a percentage of the
        franchisee's turnover.


        ADVANTAGES OF A FRANCHISE

        -> Proven system

        The franchisor has already done the work of establishing a
        system for the business being offered for franchise. This
        system provides you, the franchisee, with a roadmap to
        follow, hopefully to success. The franchisor has already
        tested and refined all aspects of the business and has
        created a "business success formula" for the franchisee to
        follow. This means that you are spared the trial and error
        of working out what works and what doesn't and are therefore
        freed to focus on "working the system", hopefully generating
        profits within a short period of time.

        -> Avoid many start-up problems

        Starting a business from the ground up requires a lot of
        time and effort just getting the basics in place. These
        include major undertakings such as developing a reputation
        in the market place, obtaining finance to fund the new
        venture and overcoming competitive threats, as well as the
        more mundane such as what business licenses to obtain and
        what insurance cover to purchase. The franchisor will have
        already done a lot of this work. For example, the
        franchisor will already have developed a reputation for the
        business in the market place, will have identified competitive
        threats and opportunities, incorporating ways of meeting them
        within the franchise system and will usually have already
        established relationships with service providers such as
        financiers.

        -> Existing name and reputation

        As stated above, you do not need to invest significant time
        and effort into getting your business known in the
        marketplace as the franchisor will already have done this
        for the benefit of the group as a whole.

        -> Support when needed

        You are not on your own when things go wrong. Got a
        business problem? Contact your franchisor for assistance.
        The franchisor will have employed many different specialists
        within its organization who are there just to assist
        franchisees successfully operate their businesses. In my
        14 years of experience in franchising, the most successful
        franchisees were those who were not afraid to ask for help
        when needed. The most unsuccessful were those who thought
        they knew it all or, for whatever reason, refused to ask for
        help when they needed it.

        -> Group buying power

        Depending on the size of the franchise network, the group
        should benefit from being able to negotiate favorable buying
        prices because of their ability to generate volume sales for
        the supplier.

        -> Group advertising

        By contributing advertising fees into a group fund,
        individual franchisees are able to benefit from much greater
        advertising exposure than they could afford if each
        franchisee had to market their business on an individual
        basis.

        -> Greater knowledge base

        The franchisor is likely to have invested in market
        research for the benefit of the group as a whole. This
        means the group has a much greater knowledge of their
        market(s) than does the local "independent" competitor.
        The results of this market research can be put to good use
        in the group's advertising and marketing programs.


        DISADVANTAGES OF A FRANCHISE

        -> Restrictions on autonomy

        Because you're buying the rights to participate in a proven
        "system", the franchisor will be concerned that all
        franchisees adhere to the system and not operate outside it.
        After all, if franchisees are free to adhere to the system or
        not as they see fit, there is no point in buying into a
        franchise at all. For this reason, for the benefit of the
        system as a whole, franchisors will generally impose strict
        controls on things such as the quality and types of products
        and services that you may offer for sale, the types of local
        advertising you may undertake, methods of dealing with
        customers, ethical conduct and the like.

        Although I've categorized this factor as a "negative", it can
        equally be viewed as a positive.  As a franchisee, you want
        to know that your franchisor is not going to allow its franchisees
        to damage the reputation of the system in which you've invested
        your hard-earned dollars.

        -> Pay initial franchise fee and purchase price

        There may be an initial investment ranging from a few hundred
        to tens of thousands of dollars to buy into a franchise.

        -> Pay ongoing royalties

        In addition to the initial franchise fee and purchase price,
        most franchisors will also charge an ongoing royalty for the
        rights to use the franchised system. These royalties are
        usually calculated as a percentage of turnover but various
        other fee structures exist.

        -> Restrictions on ability to sell business

        Some franchise agreements can restrict quite severely your
        rights to sell your business to another franchisee. They may
        impose strict criteria for proposed purchasers and you may
        find it difficult to find buyers who meet this criteria.

        -> May not be able to realize value for business on
        termination

        Some franchise agreements state that upon the expiration or
        termination of the franchise agreement, the goodwill of the
        business reverts to the franchisor. This means you may have
        operated and developed a business over many years and yet,
        when the franchise agreement expires, you effectively walk
        away from the business with no further financial compensation.

        Under this type of arrangement you must understand going in
        that you are expected to derive your financial return during
        the term of the franchise agreement by way of annual profits,
        not by way of a capital gain at the end of the franchise term.


        WHAT TO LOOK FOR IN A FRANCHISE

        -> An established franchise system with a good reputation.

        -> Comprehensive training systems for both your own
        management team and other employees.

        -> A relatively harmonious relationship between franchisor
        and franchisees. Some friction from time to time is
        inevitable in any long-term business relationship but a
        constant atmosphere of hostility, mistrust and long-running
        disputes can be a warning sign of an unstable system.  

        On the other hand, if you're looking at a franchise system of any
        significant size, a completely harmonious relationship between
        franchisor and franchisee can be a signal that the management
        of the franchisor is weak.  Although a weak management team
        on the franchisor side may translate into short-term personal
        benefits for franchisees, in the long-term it undermines the
        stability and foundation of the franchise system itself and,
        ultimately, the value of your investment.

        -> Ethical business practices both by franchisor and
        existing franchisees.

        -> An inclusive "partnership" approach on the part of both
        franchisor and franchisees. This does not mean that the
        franchisor should not impose controls on the system but you
        should look for a spirit of goodwill and cooperation,
        willingness to listen to others' ideas and a climate of open
        communication at all levels throughout the organization.

        -> Exclusive territories - although not crucial, exclusivity
        of territory (where the franchisor grants you a limited but
        exclusive territory which is yours alone) can in some cases
        be a relevant factor to the competitiveness of the business.
        It would be fair to say that it does not benefit the franchise
        system if franchisees are forced to compete with each other
        for limited business.

        These are just a few of the major factors you should take
        into consideration when deciding whether a franchise is
        for you. Although franchising minimizes the risks of
        business failure, it cannot not eliminate them entirely and
        any decision to proceed with a franchised business should
        only be made after a thorough reading of the franchise
        agreement and accompanying disclosure documentation and
        obtaining the professional advice of both your lawyer and your
        accountant.

        ------





          (Articles are no longer being made available
        via autoresponder due to large numbers of bounced mails due
        to full mailboxes.)



        ------



        entrepreneur.
        http://www.shelteredturtle.com







        4.  Tips for Newbies


        Are you paper and tree conscious? Not really into wasting
        resources, and hate the high price of ink? Okay, before
        you click the Print button, take a look at that document.
        Most printing applications have a preview mode. So instead
        of printing to paper, and deciding, "Hey, that looks like
        junk", do the print preview thing. If everything looks grand,
        go ahead and print. If you save two sheets of paper a day,
        you've saved over a ream a year. Multiply that by the
        population of Chicago, multiplied by the square root of the
        population of Denmark, and you've just saved somebody's tree.
        Cool, huh? That tree just might be one that your kids will
        sit under one day!


        ------

        Tips by Tom Glander and Joe Robson of The Newbie
        Club. The best Newbie Site ever to hit the Web.








        7. Contact Information


        Elena Fawkner, Editor
        A Home-Based Business Online
        Contact By Email
        http://www.shelteredturtle.com


        Signup to Receive Our Free Home Based Business
        Newsletter Via Email.
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