franchise. Depending on the investment,
franchisees who buy a lower-cost franchise
will be able to recoup their investment
pretty quickly and, in general, don't risk
losing their assets or retirement savings if
the business fails. Many low-cost franchises
can be financed out-of-pocket or through
savings, eliminating the need for bank
financing all together.
“Not having a large investment hanging
over a franchisee's head leaves them free to
worry about making their business a
success,” said Money Mailer CEO Gary
Mulloy. “It allows them to do the right
things to build their franchise business for
the long term rather than being overly
concerned about the burdens of large loans
and re-payments.”
The costs associated with running a low-
investment franchise tend to be lower than
some of the higher-cost concepts like
restaurants or retail stores. Most of the
franchise businesses within the low-cost
space don't require a big physical space, lots
of inventory, or dozens of employees, so it's
August-September 2014 | BusinessWorld | 103
