Should I Start a Business From Scratch or Open a Franchise?

Like buying a home, starting one’s own business is a big part of the American Dream: 452,000 Americans started a business in 2014. When it comes to making a living, we just seem to love independence.

So if you’re thinking of opening your own business this year or next, you may be wondering which way is best: starting a company from the ground up or opening a franchise?

We could talk about the risks and rewards of both, but let’s get real: we offer day spa franchises! Why would we try to talk up the benefits of starting a business from scratch?

So we’ve put together a list of three reasons why we think it’s better to go with a franchise when taking the entrepreneurial route.

1. Opening a franchise is less risky.


Franchises don’t exist without a successful original location. The owner of that original business saw that his processes and procedures, marketing and – most important – his business concept, could be reproduced relatively easily. And so he opened up his successful business to franchisees.

That original success is just one reason why buying a franchise is smart: all of the hiccups and obstacles inherent in starting from the ground up are removed. All you need to do is follow the highly tuned processes/procedures as stipulated in your franchise agreement and you have a great chance of building a successful massage franchise location yourself!

(By the way, FranNet, a franchise consulting service, estimates that 85 percent of franchise businesses are successful after about 5 years – much sooner than independent businesses.

2. Banks prefer to provide loans to those who purchase existing businesses.

bank-view-belowYes, unless you purchase a successful franchise location, your day spa will be new. But banks look at franchises somewhat as they do existing businesses because they will look at you as “piggy-banking” on your franchisor’s success: you may be new, but your franchisor is not.

3. You’ll have the support of people who have been there, done that (successfully) and who want you to succeed.


Building a business from scratch can be lonely. Sure, you’ll probably have an advisory board (highly recommended) that you can go to for advice and support. You may even have a business partner with whom to share the load.

But no one will know exactly what you’re going through as well as someone who already has gone through it: your franchisor.

Buying a franchise means you can lean on your franchisor’s expertise from beginning to end (when you sell your location, retire, or pass it on to your children), when things are wonderful and when things turn rough. Franchises also provide you with important tools such as business plans, marketing campaigns and the tools to run them, help with finding a location, hiring and firing, and more.

In other words, you will be able to follow an extremely clear map, one that guides you to success more quickly than if you were to head out alone.

Of course we’re biased: we’re very proud of our day spa franchise. We believe in our Spavia Day Spas and we believe that franchising is the best way to entrepreneurship!

Learn more about becoming one of our franchisees and download our free “Guidebook to Owning a Spavia Day Spa.” If you have any questions at all, please contact us for more information.