There’s a reason that women make up more than 25% of franchise business owners.
Buying a franchise is like starting your own company, but with less hassle.
You’re working with an existing business model, using an established name, and getting corporate training and support.
Tracy Panase is a franchisee with Just Between Friends, which sells maternity and kids’ clothes and gear on consignment. The 112 franchises are 92% woman-owned, the company says.
While franchise start-up costs and time commitments vary according to each business, here’s a close-up of Panase’s experience, after three years.
How it works: Franchisees pay $12,900 for Just Between Friends—plus up to $20,000 for marketing, venue rental, insurance and other fees.
About four months of planning and marketing go into a sales event that lasts two days to one week, Panase says.
Franchisees rent the venues—often huge sports complexes—find consignors who bring the goods and hire event coordinators who help run the show. And they pay a royalty to the franchisor to the tune of 3% of gross sales.
What’s in it for the franchisee? Hard work and cash. “We pay a lot of attention to detail, which requires time,” says Panase. “But we’ve been able to accelerate our growth exponentially.”
Three years after getting into the business, Panase and her business partner gross upwards of $100,000 per event. Not bad for a part-time gig.