Early childhood education and care services in India are
delivered outside the formal education system, by a diverse range of private,
community and voluntary interests and are described variously as crèches,
nurseries, pre-schools, playgroups and daycare services. Pre-school market is still growing in India and is attracting many
entrepreneurs to enter this space. The pre-school market is set to cross USD 1
billion (Rs 4525 Cr) by 2014, registering a high 36% annual growth.
But should you start your own business or buy a
franchise
of an already successful Pre-School business Model?
Franchising is a legal and commercial relationship between the
owner of a trademark, service mark, brand name, or advertising symbol (the
franchiser) and an individual or organization (the franchisee) wishing to use
that identification in a business. The franchise governs the method of
conducting business between the two parties. Generally, a franchisee sells
goods or services supplied by the franchiser or that meet the franchiser's
quality standards.
Think of franchising -- or at least the costs of it -- as paying
for the work someone else has already done in developing a successful business
model, marketing strategy, and superior operations efficiencies. The key to
finding a franchise opportunity that is right for you is research -- lots of research. You'll
want to first decide how much of an investment you are willing or able to make
which includes Initial fees, typical start-up costs from real estate to
equipment. If you don't do as much research as you should have and find
yourself with the wrong franchise, you may be stuck for many years.
Benefits of Franchise
business
1. The biggest advantage of buying into an established franchise
is the strength of the brand and loyalty of its customers.
2. Franchises often have well prepared marketing materials for a
local campaign.
3. Franchisers often have established relationships with suppliers
for all the materials franchisees need
4. Some of the better franchise operations offer management and
technical training.
5. There's no need to reinvent the wheel as franchisees get access
to all the trade secrets.
Cons of Franchise
Business
1. Initial Payout involves Franchise Fee and Start-up Costs.
2. Locked into Operation by Long-Term Contract. If you don't do as
much research as you should have and find yourself with the wrong franchise,
you may be stuck for many years.
3. Most franchise contracts have very explicit standards, allowing
little or no alterations or additions to the brand, stifling any creativity on
the part of the franchisee. You must use their system, follow their rules.
Springboard Franchise Advantages
1. We don’t charge franchisee fee. We reduce the burden of or risk
involved in initial investments.
1. Franchisers are given freedom to put their ideas on table and
brainstorm with in-house experts on activities.
2. We maintain a good relation with franchisers and the legal
document is framed in such a way which protects both parties interest.
