There is a higher likelihood of success since a proven business formula is in place. The products, services, and business operations have already been established.
Bankers usually look at successful franchise chains as having a lower risk of repayment default and are more likely to loan money based on that premise.
The corporate image and brand awareness is already recognized. Consumers are generally more comfortable purchasing items they are familiar with and working with companies they know and trust.
Franchise companies usually provide extensive training and support to their franchisees in effort to help them succeed.
Many times products and services are advertised at a local and national level by the main franchise companies. This practice helps boost sales for all franchisees, but individual franchisees don't absorb the cost.
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