Our Guide to Franchising A Business in Canada

Franchising a business is a fantastic choice for entrepreneurs because it offers the independence of running your own small business while you have access to an extensive, thriving network.

Business franchises span nearly all industries, including food, retail, automotive, service, and more. If you’re an entrepreneur with a specific passion, there are likely many franchise opportunities available for you.

When franchising a business, you don’t have to worry about the trial-and-error phase that comes with setting up a brand new system. Instead, the franchise owner will give you set standards and years of specific knowledge about running this particular business. Franchising can be a fantastic stepping stone and learning experience for any business venture in the future.

Franchising In Canada

If you’re an entrepreneur, one of the best places to open a franchise is in Canada.

Canada is the second-largest franchise industry in the world, with over 1,000 franchise brands and nearly 80,000 franchised business units. Canada is proudly multicultural, with a highly skilled and educated workforce that’s eager to spend their hard-earned money.

Start-up fees for franchises in Canada can range anywhere between $10,000 to millions of dollars, depending on the brand’s market presence in your location. The good news is that your parent company will help you set up and prepare everything you need to be successful. The built-in audience of a strong brand can also make marketing your franchise much easier.

Franchise agreements usually last ten years, and during that time, you will be required to pay a percentage of your income to your parent company. As a franchisee, you are expected to follow all business practices and align with the values of your parent company. Franchises succeed because the quality of service is consistent across all locations, and it is up to you to maintain that.

Most businesses close within five years of opening. Franchises generally have a higher rate of success. In Canada, 50% of franchisees have tenures of over ten years with one brand, and 30% of franchises have been operating for more than 25 years.

Factors To Consider

If you want to open a business franchise in Canada, here are the most important things you should consider:

1. Brand recognition – You should choose a brand that is recognized all across Canada and is trusted by a majority of the population. It should rigorously safeguard and maintain its reputation.

2. Training – The best parent companies offer initial and ongoing training programs for you and your employees. This ensures high-quality products and services across all locations, and you need this support every step of the way.

3. Concept – Contrary to popular belief, a business franchise is not a source of passive income. It takes tremendous work to get one off the ground and consistently find success. This is why you need to choose a brand that you believe in, with a concept that works.

4. Market research – You should find out if the brand is in demand in your specific location. Are customers clamouring for this brand? Will you be able to draw in new customers?

Conclusion

If you’re an entrepreneur interested in starting a business in Canada, you should consider franchising. You can be one of over 80,000 successful business units in the country. Franchising has a learning curve that’s easier to manage because of support from your parent company, and it has a proven track record of success as long as you choose a good brand to partner with.

Cinnzeo's ™ tasty cinnamon rolls have brought great delight to thousands of customers over the years. We also offer bakery cafe franchise opportunities for enthusiastic entrepreneurs. Franchises in Canada and international locations (Mexico, Australia, the Middle East) are available. Contact us today!