Top 10 Home Based Franchises 2009

Excuse me, do you see a pattern here, too? I've noticed over the years that cleaning services have generally ranked high. They offer lots of benefits as a business - like consistent income and a variety of different sources of clients. Maybe that's why they continue to be popular.

Now I see more building maintenance service franchise, which also similar benefits to those of cleaning franchises. As the economy appears to be stabilizing, this may be the ideal time to enter into a field where demand for these services will grow as the market gets healthier.

2009 Start a House Cleaning Business

You may believe that starting a house cleaning business is as simple as purchasing the supplies and handing out flyers. Or, you may think that buying a cleaning franchise will make the endeavor easy. Either way you choose to start your business, you should be prepared to be a small business owner.

Before you start a house cleaning business, carefully consider the following:

Is there a high demand for house cleaning services in your community and surrounding areas? If you live in a small city you may have to market your business to neighboring communities. You may need to lease space central to your service area to be certain that drive time will not consume an inordinate amount of employee compensation.

Are there major franchise outlets in your area? If so, they have researched the demographics and determined that it is possible to succeed. It will be your responsibility manage your business efficiently and to hire wisely in order to compete with the franchises. Remember that they are facing the same challenges an independent business does in marketing, managing employees and maintaining a steady flow of income; however, they must pay a percentage of their gross profits to the franchisor.

What is the average hourly fee for your competitor’s services? You must remain within the local standards. You can undercut your competition slightly, but don’t cut yourself short.

Do you have $5k to $150k risk capital available? The amount of capital you will need is dependent upon whether you start independently or purchase a franchise, your demographics and how large your business is to start. Consider whether you will lease space or work from home, and how many employees you will hire. Not only will you be responsible for payroll and taxes, but the cost of insurance, equipment and supplies will increase for each employee you hire. If you purchase a franchise you will also have royalty payments and extra fees to consider. For detailed research on franchising, visit www.maiddocs.com and read the article "Franchise Facts".

Will you need financing and, if so, where will you obtain it? The Small Business Association is a government organization which provides general information on obtaining funds for start-up businesses, and specific information on government loans which you may be eligible for. They also provide an easy to complete, free template for the business plan you will need for any loan application. Visit their website at www.sba.gov.

Do you have savings or additional income to live on for up to 12 months while growing your business? Plan for success, but be prepared to struggle.

Have you calculated the costs of paying office associates and independent contractors to assist with the business? Research local wages and include the average compensation in your business plan.

Do you require a specific level of annual income? You may have to live on less if the business is not as successful as you anticipate.

How many hours are you willing to work? The hours you put in will be greater than expected – guaranteed. You will need to become familiar with all aspects of the business in order to be successful. This may require taking classes on business management or computer training.

Will you operate the business yourself or hire a manager? Even if you hire a seasoned business manager, you must be familiar with the day-to-day operations and have a presence in the office. It is not prudent to grant anyone else complete control of your financial responsibilities.

Will you need special training to succeed? According to Dun & Bradstreet, 90% of all small business failures can be traced to poor management resulting from lack of knowledge. You must be willing to attend seminars, take college level courses, and read books to improve your skills.

Do you possess computer, bookkeeping, or accounting skills? It is necessary that you have an understanding of these aspects of your business. Taking a business management course at your local community college will provide you with general knowledge.

Are your sales and people skills top notch? Your business will not thrive if you fall short in these areas. Even if you hire a business manager and a sales person, you will find that knowledge of sales and communication is necessary to manage these employees well. There are many books you can read, and online resources to assist you with learning these skills.

Do you have successful managerial experience? Your management skills will need to be more than competent in order to bring your dreams to fruition.

Are you able to delegate responsibilities and trust your assistant’s abilities? Delegation is a requirement of any management position. Trust is earned. If you have performed reference checks and hired properly then you should be able trust your assistant’s abilities. Remember to check their work periodically to assure that personal issues are not interfering with their ability to perform their job functions.

Could you run the business solo if you had to? You may find that your office help is incompetent, or may take an unexpected leave of absence. Have a backup plan ready. If you are not prepared to run the business by yourself, you must have a temporary agency you trust on stand-by. Ask other local business owner’s which agency they use, then contact a few agencies and have their information on hand for emergency use.

Do you have access to large discount stores for cleaning supplies? If the demographics are right for establishing a cleaning service in your area, then you should have a discount store within a few miles.

Is your credit rating favorable? You will need this to set up accounts with vendors for equipment and bulk supplies.

Are you able and willing to work long hours to get your business off the ground? There is a period of learning and adjustment which will be different for each business owner and their employees. You should expect that the first year will require longer hours than you would like.

Is your spouse and family willing to live with the budget and time restraints a new business venture will incur? Be certain that your family is aware of the time and budget issues a new business incurs. You may need to remind yourself and your family often that this will be temporary.

Will you need to invest your life savings in this new venture? If so, then you should reconsider your options. Don’t put your life savings at risk until you have thoroughly researched the market, polished your skills and gained your family’s full support.

Are you willing to face the consequences if you fail? You are 100% responsible for your business. If you do not take the necessary steps to assure success, you will fail. Do not start a business if you do not have the fortitude and determination required of an entrepreneur.

© 2004 MaidDocs® ~ All rights reserved. Walter L. Gibson is president of http://MaidDocs.com. MaidDocs offers a very affordable turn-key system for a house cleaning business, or a-la-carte documents and cleaning business forms, how-to guides, and procedures manuals. To learn how you can grow your cleaning business, or start a cleaning business without a franchise, visit http://www.maiddocs.com or call 1-877-779-6955.

Finding what the "Top Franchise" actually is varies from person to person. It is important to keep an open mind and find the best franchise for yourself, not the person next to you or the person you work with right now. There are a few things that can help direct you on a path to finding the top franchise that fits your needs.

There are thousands of franchises out there to choose from, it just depends on how much money you are willing to invest and where you are looking to begin. If money is no object, then according to Entrepreneur’s Franchise 500 list of America’s top franchises Subway comes in at number one. Quiznos sub, curves, UPS, and Jackson Hewitt Tax Service round out the rest of the top 5 franchises. A complete list of the 500 top franchises can be found at:

http://www.entrepreneur.com/franzone/rank/0,6584,12-12-F5-2006-0,00.html

Just because these are the top franchises according to “the list,” it doesn’t mean that it is the top franchise on your list. Franchises that top your list should be businesses that you have experience and interest in, businesses within your price range, and a business that is in your demographic territory. There is no point to investing into a franchise that is high on America’s top franchise list if it is something that you have no interest in.

It is important to remember that franchise contracts often run anywhere from 10 years to 25 years, so take the time to do your research. If you have the money and have the interest in one of America’s top franchises, then more power to you to succeed. Many entrepreneurial seekers, however, do not have the financial stability to be able to invest in such high price businesses.

Some other lists that may be worthy of checking out on the same website include the top low cost franchises, the fastest growing franchises, and the best of the new. Sometimes investing into a new franchise can pay off if it propels in the business industry and you invest while it’s in the developmental stages. However, it is important to consider the risk of going into new businesses as they have the chance of failing just like any other business. Going into developed businesses are a little more reassuring knowing they have success and are continuing to grow.

http://www.entrepreneur.com/franzone/rank/0,6584,12-12-LO-2006-0,00.html

All in all, when determining what the “top franchise” actually is, it is best to do your research and think about what fits your needs. At the end of the day it is your business franchise that you will be investing into, not any top 10 lists franchise. So find a business that correlates with your financial status, past experience, and business interests.

Jeff Lubthisophon is the owner of Buying-franchises.com and has devoted his efforts to offering useful information on Franchise Opportunities http://www.buying-franchises.com.

Top 10 Home Based Franchises for 2009

2009 Start a House Cleaning Business