Many people are tempted to invest their saving in some kind of business, searching for an opportunity to escape the hum-drum of dreary 9 to 5 rhythm and work something exciting.
In reality, however, things are far more complicated. Starting an own business requires serious preparation, plenty of documents to fill in, and taking some serious risks without any guarantees.
An easier way to head on the road of entrepreneurship is to invest in franchising.
And if a several years ago the term was associated with mainly high-end businesses such fast-food chains or coffee shops, nowadays there are plenty of opportunities that don’t require breaking your piggy bank or taking a hefty loan.
Additionally, many of the franchising options on the market now are businesses you can set up and run from home, which means you can start operating immediately, regardless of the COVID situation.
When selecting a franchise option, there are two main factors you need to consider – your interests and how much the initial investment will cost you.
To help you make an informed decision, we will present you with the five most promising industry sectors, where you can find franchises for under 20K.
Health and Beauty
The UK beauty industry is among the most lucrative business sectors, with estimated revenue of ₤4 billion each year. In the last ten years, beauty services became part of the daily routine of millions of British men and women, allowing the industry to grow at a steady pace.
Opening a beauty salon or spa centre could cost up to 30,000 pounds. However, with the changes that the pandemic brought in our lifestyle, today many franchising opportunities offer to operate mobile beauty services or home-based saloon, and they cost under 20,000 pounds.
Keep in mind that if you’re going to provide services in your house, the location is still a key factor, while if you’re mobile, you need to make sure your vehicle is big enough for all your products and equipment.
Good news is, not every franchisor require from you professional skills or experience in the field. If you have good organisational and leadership skills, then you can consider running a management based franchise.
Accountant And Finance
These type of franchises are among the most suitable options for starting a business at home.
There are plenty of good accountancy and finance opportunities to choose from if you’re interested in the field. As a franchisee, you will be targeting a particular group of customers – small and medium businesses or individuals with significant income.
The excellent news is that you will not need to search for new customers every month, but rather aim to contract several loyal ones, that will provide you with a steady income.
When buying a financial or accounting franchise, you will receive a well-working business model, proven and tested services and valuable know-how that will allow you to have a steady head start compared to the stand-alone novices in the field.
Therefore accounting and financial options are among the top franchises under 20k.
Operating from home, gives you more flexibility in the working hours, balancing your job and personal life.
Finally, degree or qualification in the field is not obligatory, you can run the business as a manager, but if you work on client cases, then you must be certified professionally.
Online Franchises
Nowadays, it is hard to imagine our lives without the internet. From online shopping to learning the latest news, our daily life is concentrated online, as much as offline.
Naturally, this results in a continually growing and developing industry of the internet as a business.
The possibilities are plenty – from offering high-speed internet connection to a variety of digital marketing and app building services; the internet franchising is on the rise.
Among, the most beneficial sides of this business is constant innovation. Online franchises create business niches faster than any other sector, breaking new grounds with potentially significant profits to their franchisees.
Due to the wide range of opportunities, the investment level here could vary significantly. However, the average franchises go for around or under ₤20k.
Care Service
If you decide to invest in the care sector as a franchisee, you will not only operate your own business, you will run a service with a great impact on your local community.
It requires a little more than the conventional ambition and entrepreneurial kit of qualities. You really need to like working with people and be patient and generally caring person.
According to data from Eurostat, in 2019, one-fifth of the population on the European continent is above the age of 65, and in the next 30 years, the numbers will grow. That points to the conclusion that the demand for senior care services will continue to grow.
Another reason is the fact that more and more people prefer to rely on in-home domestic care instead of caring institutions. The latest numbers are showing that over 1 million British citizens are currently receiving some form of domestic care.
Becoming a franchisee in this sector will not require spending a great deal of capital on preparation or stocking. Most of the franchise opportunities are offered for under 20k. The starting up package must include a licence to operate in this industry and necessary training.
Home Improvement
House services and home improvement have always been among the top preferable franchise options in the UK.
These are businesses with a wide range of products and services from gardening to interior design, and selecting the most suitable to you depends on your interest and budget.
The good news is that the demand for home services is always high, so if you’re wondering about which industry to tap in, this could always be a safer choice. The average franchise investment is around or under 20 000 pounds.
Typically, home service and improvement franchisees receive an allocated territory, so this another thing to consider before taking your decision. Best will be to select several opportunities that have caught your attention and check with them if your territory is available.
Franchising is booming as an investment opportunity among individuals who are looking for more independence and better work-life balance, as it offers them a short-cut to building up a successful business, skipping the traps of stand-alone startups.