Some people want to build a massive business with 100s of employees.
Others don’t want responsibility & risk.
They want freedom and a high-margin business with unlimited earnings. They bet heavily on themselves. They are hard workers and willing to do whatever it takes to win.
If this sounds like you, consider a home-based, sales-driven franchise that provides a low-cost, high-potential opportunity.
There is no right or wrong way to own a business. It’s about finding the best fit based on your goals, skills, budget, and location.
Types of Home-Based Franchises
Many mobile businesses can be started as home-based then expand to a small office or flex space once it grows. Today I’m focused on the pure-play 100% home-based models such as:
Direct Mail – sell direct mail to local business owners
Medical Billing – take over the medical billing process for doctors
Cost Reduction – help other businesses reduce operational costs and earn a percentage of the savings
Real Estate Wholesaling – buy homes from people looking for a quick, no-hassle, cash offer
Senior Care Placement – help families find assisted living communities
Scalability
When starting a home-based franchise, it’s common for owners to handle all aspects of the business themselves. This includes prospecting, presenting, and selling.
However, as the business grows, there may be opportunities to expand and hire additional virtual staff.
They can do all of the prospecting and admin work, so you can focus on contacting prospects and selling.
Eventually, you could build a team of commission salespeople to 10X the business.
As a franchisee, you are an independent business owner operating within a franchise system. You can do anything that doesn’t break the franchise rules. Just because no one has built a massive team doesn’t mean you can’t do it.
It’s possible nobody had a big enough vision. (Most people think small)
Low Start-Up & Overhead Costs
Most of these franchises can be started for $30k to $150k.
You should have very low overhead costs. You only need a computer, a cell phone, and maybe a car. There are no expensive leases, signage, construction, ongoing property taxes, or building maintenance.
You can be operating in 30 to 60 days after you complete training.
Ideal Owner
Here’s the ugly truth: most people aren’t cut out for these home-based businesses.
The franchisor will provide the tools, systems, resources & training.
Success is 100% determined by your individual efforts to execute the playbook.
You must have an extremely high level of drive, self-accountability, and be resilient.
This is obvious when you look at the financial performance in Item 19 of FDDs. In both of the examples below, there is a 13-14X difference between the top & bottom quartiles!
Example A: the top quartile did $309k of gross profit compared to only $22k for the bottom quartile (14X more)
Example B: the top quartile did $801k of “secured revenue” vs. only $61k for the bottom quartile (13X more)
As part of your due diligence, you’ll chat with franchisees to determine which group you best align with—the top or bottom.
Next steps
Does a sales-driven home-based franchise sound interesting to you?
Reply here with your name, phone & zip code to learn more
My team will help you explore the various options plus arm you with checklists, questions to ask, franchise attorney/CPA/bookkeeping recommendations & more.
Cheers!
