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or "co-operative" franchising is simply a helpful way of sharing
the costs of establishing a business; adding strengths and skill-sets to
the team; and quite likely the ability to grow more quickly.
The main differences:
Intrinsically there are no operational or contractual differences
between a regular franchise and a partnership franchise, however there
are significant benefits - and a few possible drawbacks.
The main benefits include:
- sharing the costs with other partners
and/or having additional funds for increased growth rate.
- added skill sets and team strength,
which is appealing to customers and helpful to you.
- the ability to cover one another;
holidays or sickness for example.
The drawbacks are found simply in the
fact that the value of the business (equity) and the profits have to be
shared with others.
However, assuming that you are likely to achieve more with a team, and
more quickly, it is
probable that your equity and profit share would be comparable anyway.
Also leadership decisions have to be made collectively. Some people work
well in this environment, others not so well.
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