Generally speaking, downturns in the economy are times when the franchising industry excels and when you think about it, it makes a lot of sense, so no one should be particularly surprised. You see, when people lose their jobs and get tired of the rat race, they think about an alternative to the 9-5 job, such as owning their own business. Franchising Companies are always on the look-out to recruit the very best individuals and when the economy is good all the best folks already have jobs.
During this current recession, we have the banking sector which has been hit relatively hard and that means that unless a potential franchisee has really decent credit and a good amount for the down payment of the franchise they may not be able to purchase that business of their own. And the longer a franchise buyer waits after being laid off from their job, the less their chances of getting financing.
So, due to these factors, it makes sense for those who are stretched a little thin, and have lost their jobs to look into purchasing a lower-cost franchise. Most mobile service franchises can be purchased including equipment for under $125,000 and these business can be started right away, whereas fixed site franchised outlets take quite a while to get up and running, which may be longer than a potential franchise buyer can hold out living off their savings in the event they have lost their jobs.
Now this is not to say that you should choose a mobile service franchise if you cannot handle the physical labor that the business model requires, rather this is just one option you should consider if you fit into this particular scenario. It’s something to consider, and you should leave all options on the table and study your choices very carefully. Please consider all this.