FRanchisezing (Delhi)

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Franchise in India is relatively a new model for businesses; though it has gained suffice accolades among entrepreneurs across Indian territories. No doubt, the concept has to have a reason to cheer with Indian laws becoming more liberated over globalization. The mindset has opened many doors for major companies to enter India through franchising, making the nation a fertile destination for businesses to grow. Even the analytical reports, over franchise India growth, seem to praise its pace of development in India. Expert approaches claim a bright future for franchise industry with a promising growth of more than 30 per cent, contributing a major part to the boosting economy of India.
By observing the uphill slope of franchise in India, many sectors are emerging out to gather as well as to contribute opportunities, by the route of franchising business. With the progressive stories of companies via franchise India, several other companies, especially of small background, are getting confident to subscribe to this route for improved approach towards customers.

Franchise Business Concept
The franchise fraternity encompasses two major ends that are- the owner of the business (franchisor) and partner in business expansion (franchisee). In the franchise concept, the owner of the business is the one who takes the responsibility of forming a workable business idea, which is viable to transfer to others (franchisees). On the other hand, franchisees hold the task to make the undertaken business idea a success, through their entrepreneurial skills and support.
After a deep evaluation of its business concept, the franchisor decides to take upon franchising as a modern route to expand its business. It opens the gateways for investors or already franchisees to tap opportunities of starting their own business, with a proven business model. For this, a franchisor needs to be mindful while preparing the franchise model of its business, as it is a preliminary step towards reaching to the potential investors.
The motive is to have an instant penetration of the parent company in the market with the help of its franchise partners. The parent company allows entrepreneurs to share its business concept, company's trademark as well as strategy, at other various locations, in exchange of the initial fees and royalties based on revenues by the franchisees. Through the whole process of franchising, franchisor offers support and training as a part of franchise agreement.

Why it is gaining admiration in business world?
A foremost reason why companies are swiftly gaining exposure to franchise in India is that its ability to provide instant growth to businesses, at all level. In order to tap the potential market of India, and the ever-growing demands of vast population, many companies are opting for convenient path to expand, aiming to cover each potent location and area of India's premises. In respect to this idea, franchise offers means and approach to businesses to instantly widen its reach with valuable acknowledgment of its brand.
Franchising is a faster, cheaper form of expansion than adding company-owned stores, because it costs the parent company much less when new stores are owned and operated by a third party70 different industries use the franchising business model, and according to the International Franchising Association the sector earns more than $1.5 trillion in revenues each year.
On the flip side, potential for revenue growth is more limited because the parent company will only earn a percentage of the earnings from each new store.
More importantly, the concept has encouraged businesses of small and medium sector to acquire same pace of growth, and letting its services and products reach out of their confined approach.
Moreover, involvement of other major industries like IT, education, Health, entertainment, retail etc, has pushed franchising into a dynamic culture.
Hence, franchise in India has supplied to the needs of businesses, especially SMEs, to have extensive approach towards its consumers.

How it is contributing to the Indian economy?
Notwithstanding the demographic concerns of India, growing population of India is contributing to the dynamism of economy. The factor has given an optimistic view to companies, of domestic as well as foreign grounds, to subscribe to the developing needs of 300-350 million people of India. In fact, urban elite population and changing lifestyles have become a biggest reason for major companies to expand its footprints across India.
On the other side, with variety of sectors opening opportunities gates of franchising, entrepreneurial talent in young minds is getting an exciting platform to explore. It is perhaps boosting the earning capabilities of youth in India, helping them to get independent with their own ideas and skills.