There is a lot involved with expanding your small business. Different directions can be taken to get the job done. Usually, aspiring leaders have two “main” ways to handle it. They can work completely independent and create something new from scratch. Comparatively, they can ride off an already present entity. A franchise has a name which is established. A business leader can choose to open up “Tim’s Sandwich Shack” or “Subway.” This is the basic breakdown of how leaders can aspire to expand their own business.
The above displays two core methods for building and subsequently expanding a business. They create perhaps the largest fork in the road. There may be interconnections involved, but the split is distinct and long-term. One can’t easily reverse back from a pure independent entity when they already established deep franchise connections. It isn’t easy to switch a McDonald’s to “Bill’s Big Burgers.”
What does business involve when it is independent? How does this compare to a franchise or a business connected to a larger entity? A lawyer knows the road map better than anyone, especially when it involves responsibility.
The smartest thing a business leader can do is work with a lawyer. He or she is a team member who can be well-connected to the large pushes and tugs of the business world. Take the example of insurance and fault. What happens when an incident happens and the insurance company refuses payment? A policyholder is left hanging. The franchise company will put everything they can into not admitting fault, whether it is theirs to claim or not. No one will bail out an independent business. The business professional is between a rock and a hard place no matter the type of business designed.
A lawyer knows that the franchise holds a responsibility to the franchisee when insurance is involved. A lawyer also knows the many resources available to a business owner who is 100% independent. Insurance companies have restrictions. A lawyer can steer through these two oceans because they know how business works. The rules change depending on the style of the business, but the game is the same.