Business Opportunities: Turnkey vs. Franchise
Do you know what the differences are? I get asked this question a lot, as we offer a Turnkey Business Opportunity and not a Franchise. Many people do not know the difference, so I’ve put together this little handy guide to help you understand the differences.
- What is a turnkey business opportunity?
A turnkey business opportunity is set up to include everything an owner needs to get started in the business. This includes the business model, permits, how to register the name, all equipment, etc.. Ideally, all the buyer needs to do is “turn the key” and open the door to get the business up and running. Let’s Clean Blinds offers a true turnkey business opportunity.
- How is a turnkey business different from a franchise?
Although some franchises are identified as turnkey, a non-franchise turnkey business will not have ongoing royalty fees after the initial cost to purchase and will not require the business owner to follow regulations and guidelines for how to run the business. The turnkey operator will own the business and have freedom to operate it as he or she sees fit, but they typically will not get the ongoing support and help that a franchiser offers. Let’s Clean Blinds does offer the ongoing company support along with a 3-year business plan plus additional help with growing the business to the next level through Satellite Partnerships.
- What is the difference between a true turnkey opportunity and a partial turnkey program?
A true turnkey business opportunity provides everything that is needed to open or take over the business. A partial turnkey program will provide some or most of what is needed but will rely on the business owner to take care of the rest. Be sure you have a good understanding (in writing) of what you are getting when you purchase a turnkey operation, so you know what you will be responsible for before opening the business.
- Is everything really included in a true turnkey package?
Other than possibly hiring staff, it should be. There are all kinds of business opportunities out there, with many variations that use the term “turnkey.” That’s why it’s important to know exactly what you’re getting before you buy a business opportunity. A true turnkey package should provide the entire business from concept to application. This is why turnkey businesses often cost more — you are paying for the labor it took to put the opportunity together and get it ready for you to turn the key and start or take over the business.
That being said, a turkey operation only promises to get the business open. Providing good customer service and marketing the business are the owner’s job. Just be leery of opportunities that want to charge you a turnkey price while not providing a true turnkey business. Let’s Clean Blinds does offer a true turnkey business plus more.
- What are the advantages of a turnkey business opportunity?
Preparing to open a business can take hundreds of hours and delay opening for weeks or even months, while a turnkey operation is ready to go now. Another advantage is the freedom from all the restrictions a franchise puts on the business (Not having to pay royalties and other fees can also be a big plus, although the flip side is you don’t get any ongoing support from a franchiser.