Franchise opportunity in Pakistan Advantages and Disadvantages

Food is far and away the most popular franchise sector; countless models exist and, more importantly, grow, even though a recession. If you’re looking for a tried and tested business with minimal risk, a food franchise is a great place to start your search. Open to almost anyone, regardless of qualifications and experience, the food sector can offer strong returns and a comfortable lifestyle. Here are the advantages and drawbacks of buying a franchise.


Some advantages of having a Franchise opportunity in Pakistan are:

A proven system. When you buy a franchise you are gaining years of experience spent by the franchisor building their brand and systems. They have been through the process of trying what works and what doesn’t so that you don’t have to.

Training and support. Perhaps one of the biggest advantages to buying a franchise is the training and ongoing support you receive from the franchisor. There will always be someone to call when a question or problem arises.

Name recognition. Building a brand is no small feat and can also be quite expensive and time-consuming. When you sign on with a franchise, the work has been done for you. Your customers already know your name and what to expect.

Purchasing power. Having a brand name backing you allows you to benefit from the collective buying power of the franchise when it comes to purchasing inventory and equipment.

Networking. In addition to having the franchisor to rely on, buying a franchise also gives you access to an entire pool of other franchisees just like you.

Disadvantages of  Franchise opportunity in Pakistan

Startup costs. Depending on the system, startup costs for a franchise can be steep. Many franchise owners find it necessary to secure financing in order to purchase their business.

Ongoing fees. Most franchisors require franchisees to pay ongoing royalty and/or advertising fees. Though you benefit from the support and marketing efforts this affords, you will always owe a percentage of your profits to the franchisor.

Less autonomy. If you are the type who likes to march to the beat of your own drummer, franchising may not be for you. Buying into a franchise system requires you to run your business as dictated by the franchisor with little leeway for business decisions at the local level.

Contractual agreement. When you buy a franchise you sign an agreement which locks you in for a specified amount of time, anywhere from five to 20 years. Breaking a franchise agreement can be difficult and costly.


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