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Posts Tagged ‘micro business’
What Is Franchising?
Written by Alex Dimakulangan
Sunday, 08 August 2010 12:15
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You are a nine-to-five worker, and are noticing that nothing is happening. “Playing by the rules” only made you tired and old.

Doing businesses had come across your mind, but with the news of businesses failing left and right, you freeze in terror.

Yet, you still find in the newspapers, in the TV and in the world wide web that there are companies offering franchising. Maybe this is the type of business for you. And you are intrigued. You ask yourself, what is franchising, anyway?

I will tell you what franchising is.

Franchising is the practice that a company allows another entity to use and capitalize on its already successful business model and/or existing brand awareness, most often called Goodwill, for a faster return of capital.

In return, franchisees expend two payments in general. First is a one time investment, called the franchise fee, and the other is royalty fee, which is a recurring payment, for the continuous usage of the business model, advertising and training costs. Royalty fee is usually 3-10% of gross sales.

Franchising is a mutual business relationship that gives a number of entities to share: brand recognition and a successful way of doing business.

The most common misunderstanding I hear from clients is the phrase, “I want to buy your franchise”. You are not buying the business model, you are capitalizing on it. But you will own the equipment needed for the business, though.

For a company to work in the franchising world, the company must have a good record of profitability and the business solution it employs is easily duplicable.

What are the advantages of franchising?

For the franchisor, the business will grow while lessening the risk and liability that comes with expansion. It is also an ideal way to gain more brand awareness.

For the franchisee, they are investing in an already proven business system and recognized brand. In fact, a franchising business is 90% proven to be successful. With a success rate like that, who can go wrong?

Alex is a franchise consultant and he focuses on micro Philippine franchises. To become a trusted franchise consultant like him, you can go to his website at Franchise Philippines and read his articles about Philippine franchises.

 
Picking Your Affiliate Niche Market
Written by Jeff Goyen
Wednesday, 15 July 2009 02:33
No Comments
by Jeff Goyen

Personal talent and expertise are the greatest assets in any business, and affiliate marketing simply proves that fact. These are the things where people are experts, and truly know their way around the subject.

Niche marketing is based on a special set of needs. All sports, for example, create their own different niches. Their marketing, advertising and merchandising are all pitched directly at these individual niches. This is where you start needing to look closely at your own expertise and skills, and their match with your potential affiliate market, and what your niche involves.

It’s basic business sense not to dive in without checking where you’re going. You need to see proof you can make your affiliate scheme work, especially if you’re actively marketing. If you pick up an affiliate where you lack knowledge, and don’t understand the market, you’re at risk of creating a problem for yourself, and the risks are your time and money. Avoid anything where you’re not absolutely sure you can succeed.

Never mind the affiliate sales spiel, or the worthless industry hype about fashionable affiliate schemes. Unless you know you can make something out of them, they’re not what you need. The absolute bottom line is finding something that you can operate effectively, particularly in active marketing, where your commitments are much greater. This is the time to get very picky, ask questions, and get comprehensible, meaningful, answers, before committing years of your life, time and money to anything

You must operate your business on the basis of your strengths. In niches where you can use your own skills and expertise, you have instant, major commercial advantages. You start business with a very clear understanding of what’s involved. For active marketing, you don’t have to endure the tough learning curves. In sales, profitability will be more certain, faster, and build your business more effectively.

From the business perspective, not having to learn your way through an entire industry has a few things to be said for it, too. One of the reasons affiliate marketing works so well for some and not for others is that successful affiliates have the right mix of personal interest, market knowledge and the product, sales and business skills required.

Finding the right niche market for affiliates has some basic criteria:

You’re competent and familiar with products.You really understand and are interested in the niche. Your business knowledge base for the affiliate is fully operational. You can promote your own business effectively in the affiliate’s niche.

Niche N Easy.net is a full suite everything you need to do business. You have the niche, Niche N Easy.net has the tools. Niche marketing means finding your niche in the affiliate industry.

About the Author:
Before you do any niche marketing, make sure you check Jeff Goyen’s informative site onniche marketing, and niche marketing