Do you want to make millions, or make sandwiches?

I have seen some people recently argue that being a franchisee is a road to riches. Sorry buckaroos, it’s NOT. You’re totally wrong. Owning a franchise store is an absolute nightmare for 90% of the owners. You don’t want to be a franchisee, you want to be the franchisor. That’s where you make millions. Not owning the store.

By purchasing a a franchise, you give up almost all hopes of getting rich. Profit margins are so slim, by the time all bills are paid, you won’t have enough money left over to buy a sandwich or mail a package from your own store. By owning a retail shop, you give up your whole life. You will be working 14 hour days, seven days a week. Then you hand over as much a 20% of those earnings to the franchisor each month. Most franchises only net about $40,000 a year. It’s tough to get ahead, and even tougher because you have to depend on unskilled labor, meaning highschool kids. Ever tried to manage high school kids who have no work ethic? I have. Trust me, you don’t want to. By owning a franchise, you’re basically just buying a job. It’s really not worth it, but it seems glamorous to those not in the know.

By being the franchisor, the world is yours. You can start one operation, test different marketing, design, menu, location, populations, pricing and see what formula works. Once you find what works, that formula becomes scalable and you can expand till you have millions in the bank. Beleive it or not, making sandwiches in a sub shop is just as difficult as building a global coffee shop empire.

Energy spent will be the same on both sides. What would you rather do? Make millions or make sandwiches?

- Wealth Store