Corporate Expansion VS. Franching the business

[swimdiva]

I have a client who ready for expansion. Their single unit retail store generates over $750,000 a year in sales and they are maintaining a 23% profit retention. They have a great brand and concept and are trying to decide between Corporate Expansion (slower, costly and time consuming) or Franchising of their business (time consuming and growth risks).

Both avenues have their benefits, just wondering if anyone has actually decided between, pursued or worked for a company that expanding in one or another direction.

Mahalo!

[Lambo]

start 2-3 corporate stores to prove the durability of the concept and then franchise out. Franchisees look for a positive track record and want to know it can be duplicated time and time again while retaining decent numbers.