Starting my own business: Franchisee

AAAgent

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60K a year isn't bad for working literally 24/7 for an unknown period of years?
You're reaching here.... This scenario is literally if you don't have experience in either and are working yourself to death. I would guess you don't have either which is why you assumed an almost worst case scenario. I have a team already in place and likely will only be reviewing the P&L and potentially hanging out in the store. Already have a manager and part time staff ready and available. We'll likely need to scale up temporarily for grand opening. The misses will be doing most of the heavy lifting. We're also trying to partition out an office space within the leasing space to either lease out to another business or use as an office. Misses is super passionate about learning business and doing this as she really hasn't been working at all since the pandemic. If she somehow can't handle it, I can hire someone to take care of it and focus on additional locations to increase scale. Margins will be low in this instance but that's only if necessary, which I don't expect. Can still stomach low margins. Worst case scenario would be what you mentioned which is also acceptable in this scenario. Low margins for business but I would still earn pocket change salary from working. I think this is a positive part of having a business. Being able to pay yourself a salary and lowering your taxes.

My full time job still pays well (well into six figures) and we have 5 months free rent, and $15 reimbursement up to $33k for renovations.

Received returned LOI and signed.
 
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CAPSLOCK BANDIT

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The problem in Canada for example is we have government programs with stipulations, for example if an employer has a job posting up for like 6 months without any reasonable responses they can apply for an immigrant to be in the position who they can pay a much lower wage to which offers investors a better overall return which only serves to change the landscape of the market.

It's different times, one negative interaction online can totally change the perspective of your business, God forbid it goes viral

I feel like the day and age of the 40 year old mom and pop brand is over, a rebranding should almost mandatory in business planning and a business should be built with one in mind from the beginning
 

AAAgent

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The problem in Canada for example is we have government programs with stipulations, for example if an employer has a job posting up for like 6 months without any reasonable responses they can apply for an immigrant to be in the position who they can pay a much lower wage to which offers investors a better overall return which only serves to change the landscape of the market.

It's different times, one negative interaction online can totally change the perspective of your business, God forbid it goes viral

I feel like the day and age of the 40 year old mom and pop brand is over, a rebranding should almost mandatory in business planning and a business should be built with one in mind from the beginning
We have friends from asia in the restaurant industry that also do want to come over and help as well. Will also be looking into this.
 

AAAgent

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Spoke with some friends in China that explained the lifecycle of tea shop and other franchises in these mega cities.

- profitability happens early on when you have early mover advantage and or a new brand
- probability wanes as excitement declines
- good product is helpful (we have a strong product, strongest in market)
- over time, as you become more profitable, corporate will have more shops open to compete with you to drive down your market share but drive up their market share
- over time landlords will drive up your rent, lowering your profitability the more successful you become
- most people after the first few years 2-4 years sell the business to someone else or get an investor to recoup investment
 

AAAgent

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We tried to submit our location in the internal system but we were missing some information such as specific pictures and video's of the location, height of the ceiling, electricity capacity, and a few more details. We just got them today and will resubmit soon.
 

AAAgent

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Corporate from Asia came back and put a hold on my current leasing location and asked me to look into another location that I looked into previously. We are asking to contest their decision and solidify our current location but also are location at additional locations in the territory they requested.

we are also nearing the finish line with the landlord for the location we want. have finalized majority of the documents they need to produce a lease.
 

BeTheChange

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Haven't posted in a while but started lurking again recently.

Congrats on the business! It truly is the best path to building real wealth.

Honestly though I'm surprised to see this thread. Didn't you make an absolute wedge from crypto?

I'm sure you were in balls deep since 2016/17. Could be mistaken and from what I remember you never mentioned hard numbers but you were making posts implying that you were generating / had made liquid millions. But now you've got a full time job and you're talking about buying a franchise to make $100k a year? What happened along the way? Did you lose it all on blackjack?

Anyway, back on the thread topic: it's worth looking into buying a business rather than a franchise. With all the boomers retiring there are a lot of opportunities in the US. I bought one a year or so ago and it literally changed my life both financially and professionally.
 

Chow Mein

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Haven't posted in a while but started lurking again recently.

Congrats on the business! It truly is the best path to building real wealth.

Honestly though I'm surprised to see this thread. Didn't you make an absolute wedge from crypto?

I'm sure you were in balls deep since 2016/17. Could be mistaken and from what I remember you never mentioned hard numbers but you were making posts implying that you were generating / had made liquid millions. But now you've got a full time job and you're talking about buying a franchise to make $100k a year? What happened along the way? Did you lose it all on blackjack?

Anyway, back on the thread topic: it's worth looking into buying a business rather than a franchise. With all the boomers retiring there are a lot of opportunities in the US. I bought one a year or so ago and it literally changed my life both financially and professionally.
What business did you buy and could you share your experiences? Appreciated!
 
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