Small Business Franchise Success with Fewer Fraud Pitfalls

Nigel Mayne: Starting up in your own business or expanding a home based activity into a reliable, steady and satisfactory income stream is a challenge made tougher by the wide range of opportunities that seem to be available. Maybe you have already searched the internet for small business opportunities and found a wealth, even an overload, of interesting leads. Which ones match your skill set and which are the ones to walk away from for a number of reasons not overlooking the risk of fraud?rnFranchises attract many new investors because the business is established and proven, the learning curve for the entrepreneur is minimised and marketing resources, training and operating procedures get the new venture off the ground faster. In your initial search on the Internet you will soon encounter many leads for franchise investment, possibly an overwhelming number depending on which country you are focussing your effort. In the Annual Franchise Development Report produced by a US media group, the internet is the top sales producer, with an increasing amount being spent on advertising franchises using social networking sites. The franchise business model has, for more than a decade, been well established in North America (the USA and Canada), in the UK, Ireland and Australia in more recent years and growing fast, and now in many European and South American countries, all with various forms and levels of legislative and administrative controls to protect the buyer/investor from the various possible risks encountered in all business models including commercial fraud. Determining what you can afford or what you could afford to lose, some cynics say, will provide you with the short list of potential franchise opportunities. The well meant advice relates to the hard fact that in the US nearly 90% of all new businesses fail within 3 to 5 years and not specifically to new franchises. As with all business models, investing in a franchise carries a level of risk. However note that, by comparison with the statistics available and mentioned above for new businesses, the US Dept of Commerce studies show that, on the contrary, over 90% of new franchised businesses are in operation after more than 5 years. MatchPoint Franchise Consulting Network was founded in 2006 with a mission of helping companies expand their franchise networks and improve their system Advice is offered freely to franchise buyers on the web site and by MatchPoint consultants in the field and is vital to the buyer for a better, prudent, buying decision. The advice offered by our consultants does not make us lawyers; it is there to help the investor with a high quality due diligence process. It is an effective hedge against misrepresentation and fraud sometimes propagated by less than reputable business opportunity marketers. MatchPoint consultants trained by Nigel Mayne know the red flags of fraud in the investment field. It takes the very few promoters that practice business fraud to taint the dream of the franchisee and their family. That`s where seeking the independent advice of an expert franchising consultant is prudent and invaluable.