The Best Business Opportunities For 2013

When it comes to starting up a new business there are two basic categories: Those you can get rolling right away or those that need years and expertise to build. For instance, starting up a biotech type of company will require a lot of investment and plenty of PhDs. On the other hand investing in a franchise could be as simple as coming up with the down payment for the business. Looking towards the coming year, here are the top 5 business opportunities for 2013. And yes, these could all be considered "quick start" companies.

Transportation for the Elderly

There is no escaping the fact that the baby boomer generation has grown up and are all heading into retirement. As the population ages, there will be an increased need to provide senior care. This type of specialized care will come in many forms but one thing is for certain; all of those seniors will need a safe and dependable way to get where they need to go. Folks of a certain age or infirmity may no longer be able to drive or take public transportation. An affordable door-to-door driving service can hold a lot of appeal to these seniors and their families. You might have the opportunity to buy into an existing business or start out with a couple of vans, certified drivers and insurance. Either way this is a business opportunity that is destined to expand in the coming years.

Bike Repair and Rental

As folks become more environmentally aware, they will be looking for eco-friendly ways to conduct their daily routines. One way would be to take an alternative method of transportation such as riding a bike. Many cities are helping support these endeavor by providing bike-parking zones. A business that can rent bikes would also be attracted especially in areas where there are tourists. Making simple bike repairs is also a lot easier to learn than fixing a car. This is also a perfect community business which can build a strong customer base in a neighborhood.

General Contractor

If you like working with your hands then you might be quite adept at fixing things. As the economy shows signs of improvements folks will be in the mood for a home makeover. Whether it's a new kitchen or bathroom or converting a garage into a spare bedroom there will be workers to supervise, permits to obtain and materials to purchase. This is the type of business that requires a bit more hustle but you won't be confined to an office.

Home Health Care

Like transportation for seniors, there is also a need for in-home care for the elderly. Being able to provide that kind of service with a staff of certified employees would be of a great benefit to the community. It would also provide decent job security because the demand will always be there. This is also another area where you could receive support from the government in terms of payments and guidelines.

Pet Care

Pet care is a multi-billion dollar industry. Dog and cat owners alike will think nothing of pampering their four-legged friends. A business that offers daily care such as dog walks or cat feeding will bring peace of mind to the owners of those companions. This is a low overhead business as most of the work will be done on location. All you really need to focus on is marketing, bookkeeping and staffing. 

Mistakes To Avoid When Owning A Franchise

On many levels a franchise business can be considered a “turnkey” type of business. In other words, a lot of the important work has already been done in terms of establishing a brand and providing for quality assurance of selling a product or service. However, just because you are investing into a franchise doesn’t mean you’re guaranteed 100% success. To optimize your return on your franchise investment be aware of these common mistakes and try to avoid them at all costs:

1)      Not Reading the Fine Print:

A common mistake is when a new franchise owner doesn’t understand or even has knowledge about their responsibilities to the franchise and may learn the hard way. Before you sign on to any franchise business, understand that there has already been a team of lawyers who have gone through every detail pertaining to that business, protecting the interests of the parent company. They have outlined every step including your role as a franchise owner. There should be no doubt about what you’re buying into. Remember, it’s all spelled out in the contract - that’s why not only should you read the fine print but you should also go over every line of the contract with a qualified attorney.

2)      Not Talking With Current Franchise Owners:

Buying into a franchise means you are buying into a network of like-minded business owners. These are the perfect resources you should tap into as you get your business up and running. You’re all on the same team and it stands to reason that the success of one franchise is good for all the franchises. You’re sure to have many questions to ask but make sure you go beyond the potential franchise owner you might be buying from. Seek out other owners in your community to assess their experiences with operating the business and their relationship with the parent company.

3)      Not Having the Right Amount of Capital:

Any type of franchise business is a serious investment that goes beyond the initial purchase price. You also need to have enough capitol on hand to cover the pre-opening costs and other business budget items. Just as you need to have a cushion of several months worth of savings set aside for your family, you should also have enough capital on hand to insure you can survive any potential lean times with your new business.

4)      Not Researching the Neighborhood:

Suppose you are looking to invest in a franchise business selling hamburgers. You’ve got a great location and plenty of parking but what if the majority of your neighbors are vegetarians? That probably won’t happen but you can see by that example how important it is to research the community you’re going into with your franchise. You might have a robust business during the week but will be hard pressed for customers on a Sunday. You could also find out that there is a late-night crowd on the weekends which can provide a boost to the business. It all comes down to a question of doing the right research.

5)      Not Working With the Parent Company:

As a franchise owner you’ll have access to all information and benefits provided by the parent company. While it is true that the day-to-day operation will fall on your shoulders, that doesn’t mean you can’t tap into your field reps for help. Take full advantage of those company representatives; that’s what they are there for!

How to Find a Business to Buy

One of the first lessons any savvy business person learns is that you’ve got to spend money to make money. The question then becomes how can you effectively spend your money or the money of your investors? This is where the issue of buying an established business comes into play. There are many advantages with finding a business that is already up any running because a staff and management structure might already be in place. The same can be said for any equipment required to run the business whether it’s a salon, gym or real estate agency. Having these elements in place can limit your initial expenditures but that doesn’t mean every turnkey business is going to be a perfect fit for your specific entrepreneurship interests. Consider these questions to ask yourself when looking for the best business to buy.

1.      What Are Your Viable Skill Sets?

The restaurant landscape is littered with dozens, if not hundreds, of failed restaurants that have collapsed merely because the new owner had no clue what they were getting into. Just because you have always fancied owning a place where “everybody knows your name” doesn’t mean you are suited for the restaurant business. On the other hand, a small fast food franchise could be the perfect business if you have a knack for management and bookkeeping. Those franchises are ready made with a textbook of valuable instructions to follow that will insure you can meet the obligations of the brand. There is no need for “out of the box” thinking to drum up business with a national franchise.

If you have strong “people” skills then you might benefit from buying a business that requires a lot of customer service and/or sales calls. If your talents are more of the “back office” sort then clearly you don’t want to have a business where you’ll need to become the face of the company. Always lead with your strength.


2.      What Effect Will This Business Have On Your Home Life?

Starting a new family might not be the best time to start a new business. The pressures on both sides of that equation could create fault lines that result in too much stress. Buying a new business means you’ll have to devote a serious amount of time and effort, especially in the start up phase. Entrepreneurship goes hand in hand with sacrifice. You might have to forgo a vacation or hanging out with the boys for poker night while you get things running. If you’re not willing to devote that time, you might not be ready to invest in a new business.

3.      Where to Find the Right Business?

Throughout the year, there are many franchise trade conventions held all around the country. These expos are a great place to find many potential business opportunities gathered in once place. Not only will you be able to meet franchise owners, but you can enter into some serious discussions with the franchise entities themselves. This is also the perfect environment to survey many options over the course of a single weekend. You might not leave with a business contract, but you’ll certainly leave with plenty of information to process. 

Is owning a franchise right for you?

In the last few years, the popularity of the franchise business model has skyrocketed. Many people are attracted not only by its proven business model but also the ease in owning one. While the success rate for franchises is somewhat higher than owning independent businesses, there is still the possibility that an individual franchise won’t succeed. So, before purchasing a franchise opportunity, ask yourself these six questions:

Are you ready to run your own business?

As an entrepreneur, you can be expected to work more than 60 hour weeks, doing all the dirty work; such as mopping floors, emptying the garbage and handling upset customers. If you are willing to put in the work in the early stages, and see it through, you have a higher chance of success.

Are you willing to completely follow the franchisor’s system?

The most important part of a franchise’s success is the brand consistency that customers find from one franchise to another. By being a franchise owner, you are following a particular system determined by the head office. If you’re an entrepreneurial person, think twice before purchasing a franchise as you may not like to conform to a formula and may chafe against the restrictions.

Are you able to afford it?

Understand what your financial requirements are going to be and then double it! One of the major causes of failure for franchises is being poorly capitalized. Do your research – ask your franchisor what your start-up costs will be, including any detailed expenses such as equipment financing and rent. You will not only need money to open your franchise, but also to manage it until it becomes profitable. And for some franchise businesses, it may take up to a year to break even.

Does the corporate headquarters have a history of success?

You should do your research into the owners of the company, including their business background and successes. Work with an accountant and review the finances of the franchise. Is it solid? Don’t be afraid to ask questions, as it’s their support and experience which will guide your success.

Do you like the franchisor’s staff—those people with whom you will be working?

A chain is only as good as its weakest link. Which means that you should investigate the staff that provides support for your franchise. Make sure that you’re comfortable with them and are able to build a good relationship.

Is your family behind you?

This applies to all entrepreneurs – starting a business, be it a franchise or an independent, will require a lot of sacrifices. Especially in your personal life. For this reason, communicate clearly to your family that you will be busy, and set some boundaries. They will need to be supportive of your decision and are willing to compromise.

Finally, hire the expertise of professionals, such as an accountant and a lawyer. By creating a team, you’ll be well prepared to face any challenges that may come upon you. By evaluating the franchise you want to purchase and your own strengths and weaknesses, you’ll have a pretty good picture whether you’re ready to take the next step in owning a franchise business.

Franchise – The Final Frontier

For a large number of mid- and senior-level business managers and executives, the current recession has brought something they didn't readily envision – layoffs and unemployment. Job security is no longer a given benefit at their corporate level. The former wealth creation strategies – registered retirement savings plans, pensions, real estate, stock portfolios – have ceased to become guaranteed. Age discrimination, now known by the politically correct term "over-qualified", is a key player in the corporate world.

This new trend does not seem to be a short term solution to the current recession but, rather, a change in employment attitudes and management strategies. As a result, experienced executives have also changed their attitudes. They have come to the realization that the time has come to control their own destinies and become their own bosses. The best investment is investing in number one.

Rather than starting out and building new companies from the ground up – a lengthy and often expensive process, white collar professionals are applying their skills to "white-collar franchises." The greatest asset these executives have is a wealth of intellectual capital – management skills, marketing, communications, human resources, strategic planning, and more. Purchasing and operating a "white-collar" franchise – not the traditional fast-food outlet or convenience store, allow these skills to be applied to a situation where the manager is his own boss.

Fortunes can be made in a recession. This is the right time to pursue self-employment. Labour costs are down and there is a large pool of available talent. Real estate prices have fallen. Finance rates – for those with good credit – are lower. In all, overhead for a business is much lower. Combine this with top management skills and one has a winning combination for a successful business through franchising.

Incorporate in Canada with CorporationCentre.ca
Click. You're incorporated ®