“Gary, what’s the hottest franchise today?” That’s probably the most common question I get, and I would suggest to you, maybe it’s the wrong question… “What’s hot?” How do you measure hot? Some people measure hot, most of the industry as a matter of fact, measures hot by what franchises sell the most. What sells the most is what is popular today, but I wonder, does it have the sustainability factor? I think better questions for you to ask are what types of franchises can be sustainable?
Sustainability
Let’s look at some of the things that make a business sustainable. Think about what the demand is, and what the customers consistently buy. You’ve got “need-based” businesses, and you’ve got “want-based” businesses. I need a haircut every six to eight weeks. I want a good meal at a restaurant. If dollars get tight, guess what I’m cutting? I might wait nine weeks to get my haircut, but I am going to look for need-based businesses. See, the more want-based the business is, the higher the risk it is to you, especially during recessionary times. So the strongest businesses we see are businesses that satisfy the needs of everyday consumers, no matter what the economy is doing.
Needs Based Businesses
Let’s look at some examples of need-based businesses: Think about businesses that serve seniors, or think about businesses that serve homeowners, home improvement, home beautification, etc. Then there are businesses that help other businesses grow.
There are many different examples of need-based businesses, far too many to get into today, but a lot of the work I do is helping people look at what the safest businesses are. What are the most sustainable businesses that help you achieve and exceed your financial lifestyle goals? I look forward to working with you and exploring what your best options are. Book a call now.
Originally posted on LinkedIn
