franchise : pros and cons


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Franchises are hot items these days. There are literally hundreds of franchise opportunities in South Africa covering all areas. However, before you decide to spend all of your savings on the franchise of your dreams, you may want to consider what the pros and cons of buying a franchise versus starting your business from scratch.


Buying a franchise can be a quick way to set up your own business without starting from scratch. But there are also a number of drawbacks in a franchise based system.


At Powerpack we have examined both the advantages & disadvantages of buying a franchise, through ongoing research & development.

Our package consists of all of the advantages of a franchise without the costly limitations and restrictions. 


Benefit from our 14 years experience & proven track record in the signage print industry allowing our guidance to build your business without the harsh costly lessons of trial and error.


We do not restrict you to jurisdictional limitations nor limit your growth through restrictive corporate policies and we don’t take royalty fees which cripple your profitability. 


Your success is our success!

Powerpack - Franchise advantages without the sting.

The turnkey "no franchise fee" business opportunity™

Advantages of a Franchise

Disadvantages of a Franchise


Your franchise is based on a proven idea.You can check how successful other franchises are before committing yourself.

As well as the initial costs of buying the franchise, you pay continuing royalties and you may have to agree to buy products from the franchisor.


You can use a recognised franchise brand name and trade marks. You benefit from any advertising or promotion by the owner of the franchise - the "franchisor".

Other franchisees could give the brand a bad reputation.


The franchisor gives you support - usually including training, help setting up the franchise, a manual telling you how to run the franchise and ongoing advice.

The franchise agreement usually includes restrictions on how you run the business. You might not be able to make changes to suit your local market.


You usually have exclusive rights in your territory. The franchisor won't sell any other franchises in the same region.

The franchise group might go out of business, or change the way they do things.


Financing the business may be easier. Banks are sometimes more likely to lend money to buy a franchise with a good reputation.

Costs of owning a franchise may be higher than you expect.


Risk is reduced and is shared by the franchisor.

You may find it difficult to sell your franchise - you can only sell it to someone approved by the franchisor.


Relationships with suppliers have already been established through the franchise chain.

Reduced risk means you might not generate large profits.

Turnkey "no franchise fee" Business Opportunity™ is a registered tradmark of POWERPACK
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