House prices rise could help franchise buyers
During May 2009 the value of houses in the UK rose. This could be useful to anyone thinking of buying a franchise as the general rise in pricing may give banks more confidence to lend against equity in the home owned. Clearly this is only one month and an upward trend will need to seen over time to bring true confidence to in house values to owners and lenders.
House prices rose 1.2% in May on April, offering evidence of activity in the UK housing market, according to figures from the Nationwide building society. The annual rate of house price falls eased from 15% in April to 11.3%, with a typical home now costing £154,016. Over the past three months, house prices fell by 0.5% compared with the previous three-month period, the lowest quarterly drop since January last year.
The housing market continues to offer opportunities for UK franchise buyers and owners
Fewer properties are coming onto the market as many sellers choose to rent their properties to tenants, rather than try to sell them in a depressed market. This has helped stabilise the ratio of sales to the unsold stock of properties on estate agents leading to some of the price rises in recent months.
This good news for lettings franchises such as Belvouir Lettings and Watson Mitchell Blackburn (to read more about these franchises visit – http://www.selectyourfranchise.com/uk/franchise-directory/Lettings-Franchise.html).
While the home sales market has suffered badly in 2009 the lettings market has strengthened. This is because of increased stock availability and an increase of people needing to rent. Reasons for the increase in the rental market include people having to exit ownership or being unable to enter into ownership due to tightening bank finance requirements from lenders.
Over 50′s may need to work longer
There is bad and good news in the revelation that over 50′s may need to work longer because of the fall in value of savings and pensions.
The bad news is for those that do not like their work and seek to retire as soon as they can. The good or better news is for those that enjoy what they do and would not want to stop what they do at retirement age anyway.
Many franchise business owners are 50 and over and love what they do. They are building their own business and that can give a healthy income now and for many years to come.
In addition a franchise owner can enjoy the work he does now and earn a good living. He can also plan to exit/sell his business at time of his choosing which can increase access to capital when he does decide to retire.
Franchise business ownership is a genuine investment option for over 50′s. To enter you will need to have capital and time to invest and want to build your own business using your chosen franchisor’s proven brand and business system.
Franchise business ownership can both empower and give genuine choice when it comes to the issue of retirement. Enjoying your work now and having the power to determine your own future is a healthy prospect for franchise owners – especially in these times.
It is vital that all over 50′s have their retirement exit plan in place. It is also vital to spread risk when planning for investment. Franchise busienss may work very well as a central part to your portfolio.
To find out more about UK franchise opportunities and read industry expert advice visit – www.SelectYourFranchise.com.
Tags: franchise investment, over 50, ownership, Pension, retire
Franchise business confidence on the rise
Confidence among business professionals has risen for the first time since the end of 2007, a survey indicates. The Institute of Chartered Accountants’ index of business confidence rose at the end of March.
This is encouraging news indeed. However, I would urge businesses not to be complacent. Clearly we are not out of the woods of recession yet.
The benefits to be taken out of the current economic situation is that all business, franchises and all others, are focussing their efforts on maximising what works and building on core strengths. Any complacency that may once have existed is now gone. This has the result of helping develop core revenue steams, reduce cost and drive profit.
Another strength to pick up on in the current times is that well run businesses, that have controlled accounts and administration as well as superb customer service, will ride the recession and emerge leaner and stronger. This is good news for franchise business which is focused on developing and relpicating best practise.
Now more than ever franchisors need to be focusing on helping their franchisees develop their business administration skills. Franchisors should develop systems that are simple and will help franchisees pretect themsleves from narrowing margins is now, more than ever, vital.
Moving forward it is focusing on core strengths and managing cash effectively that will help to ensure business survival and ultimately growth out of the recession. It is positive, profitable trading that will repair the damage done to the economy. It won’t be quick or easy but via best practise, recovery can and will be achieved.
Tags: Confidence, economy, franchise professionals
