Have you Considered a Franchise Business?
We recently said farewell to franchise owners John and Tracey Wreathall at Countrywide Signs Mildenhall. Their story has included many accomplishments. Joining in 2005, the husband-and-wife team chose to sell part of their territory area in 2013 and seven years later have now fully retired. Franchising was the right choice for their futures, could it be right for your retirement financial planning too?
How a Franchise Can Provide Security for Retirement
There are many reasons to look to franchising as an opportunity to become a business owner. One reason that we regularly discuss with our prospective franchisees is funding their own retirement.
Many of us start to feel our mortality as we reach our 30s or 40s. Pensions feel much more important; we start to consider our futures post-work; we begin thinking more about ensuring our families are provided for and the help we can give them financially in later life.
Whichever is important to you, social security and having a financial safety net will always be reassuring. Unfortunately pension pots and the general cost of living are not what they were. It is therefore often harder to create a generous nest egg.
Choosing to go into business for yourself can be the natural progression on your career path. An opportunity where you no longer line the pockets of others, but instead can create your own financial stability.
All Part of the Retirement Strategy
John and Tracey Wreathall are a great example of what can be achieved through franchising as a business opportunity. Part of their long-term plan needed to change back in 2013 when John started to have back problems. The Bury St Edmunds area had become so busy, that rather than increasing their workforce they chose to segment their operation to alleviate a little pressure. It meant that even before they were looking to retire, they could sell and make a profit on part of their well established and successful business. It wasn’t their original plan but became a sensible choice financially and health wise.
The sale meant they still had a nice chunk of market share ready for when they chose to sell the business in its entirety. Known as Countrywide Signs Mildenhall, they decided to sell their business (which also covered Newmarket) during the latter part of 2020. Selling to another husband-and-wife team, Gary and Cat who opened their new business, now known as Countrywide Signs Newmarket on 1st January.
How to Build your Retirement Nest Egg
In today’s economic climate, starting an independent business can have less future stability than the likes of a franchise. However, with a tried and tested business model, an established brand, and a diverse support and training structure, franchises are proven to be a much more stable business choice.
Here are some suggestions for building a business ready to sell and fund your retirement:
- Grow your business from a one van operation to a multiple van operation, then look to sell when the timing is right.
- Once established in your area, look at adjacent territories which might be for sale for expansion.
- Build your business into a multiple van operation and set up a management team to run the business for you. You are likely to need to expand your territory along the way.
- You could look at a long-term plan as a family business. This is where over time you gradually take a back seat and take an income when a family member takes over.
- Once your business has grown, and if your territory allows it (like John and Tracey’s) you could free up cash, and your time, by selling part of the area you cover as a resale opportunity.
These are all viable and rewarding options.
Just like Gary and Cat, buying an already established franchise comes with many benefits, or just like many others who embark on franchising, you could be starting a fresh with a greenfield territory where there’s the option to start a new business and build from scratch. Retirement might seem a long way off, but it is never too early to start your retirement financial planning.
Interested in learning more? Start planning your future and retirement business options now, Get in Touch today with our franchise experts or Schedule a Call with our franchise recruitment specialists.
*Photo: Justin Pearce, Director and John Wreathall. Presentation and farewell. Photo taken December 2020.