Being knowledgeable about franchise is one way to boost your confidence before full diving deep into franchise. One way to do that is to know the types of franchise and how the function. Listed below are the types franchises in the market:
Bottom-Up Franchise – this type of business has developed through wide-spread franchising, and it has undergone several run throughs and tests to make sure that the business model is right. This particular type of franchise already has its own branding, name and products too, and they take up some of the biggest industries in the market.
Top-Down Franchise – this type of franchise is born out of research trends and how the market responds to some of the products listed. This is fairly a rough and high-risk venture, because it doesn’t have that much security, and that there is no business model for it. Basically, this is more of trial and error.