How many shuttered McDonald's restaurants
have you seen?
Chances are, none at all.
That's partly because McDonald's is so successful, and such an iconic American brand.
It's also because franchises have a much better chance of long-term success than non-franchise businesses. Entrepreneur magazine gives the extraordinary success rate of 90 percent.
With a McDonald's franchise the heavy lifting is done for you: you get access to the raw materials (the uncooked food, the equipment, the building plans) as well as access to the brand itself.
Great!
Except the franchise itself costs you a million smackers.
WOMP WOMP.
Each McDonald's franchise earns on average $157K in profit per year, which is nice, but it means you won't get your money back -- if you even had a million smackers to begin with -- for quite a while.
In our webinar, Steve Clayton pointed out that the owner of a Subway franchise earns $50,000 per year. I couldn't believe someone would go to that much trouble for such a relatively paltry return, so I looked it up myself and it turns out he was right on the nose.
What we talked about during the webinar is this:
(1) Instead of selling Big Macs to 40,000 customers, why not sell higher-ticket services to fewer customers who have much bigger budgets -- such that seven clients suffices to give you a thriving business?
(2) What if these services were needed by half the businesses in your area, and they needed them every month?
(3) What if you had automated processes to reach out and sell to these businesses, such that you never needed to see them in person or even get on the phone?
(4) And what if, once the orders come in, you just pass them along to Steve and his team to do for you, so you don't need to learn them (the same way a McDonald's franchisee doesn't have to learn Big Macs and product development himself), and then you keep most of the dough?
Compare that to almost any business you might consider starting, or any impossibly expensive franchise you might try.
Every single thing that would get in your way or scare you is removed.
Set aside to watch before this comes down at midnight Eastern:
Tom Woods