Becoming a franchise owner can be an exceptional opportunity for anyone who is eager to experience owning their own business, and it comes with a wealth of impressive advantages that you wouldn’t have if you do it alone. However, if you are interested in investing in your very own franchise business, it is vital that you have all the key facts about the different types of franchise models available. Knowing whether you want to opt for a single-unit setup or go for a multi-unit franchise can help ensure you start your new enterprise on the right foot. Here is a closer look at these two main forms of franchises to help you make a more informed choice.

What Is A Single-Unit Franchise?

This franchise form is the traditional setup that most people think of when they imagine a franchise owner. Typically owned and operated by a single individual or a couple, they will often have invested a considerable sum from their personal savings to acquire this business. The franchise will usually come with a protected area (to limit direct competition from fellow franchisees) and offers all the training and support needed for novice entrepreneurs to run their business successfully. However, choosing a single-unit franchise can also mean that franchisees may find their options are limited if they decide to open another location in the future.

A single-unit franchisee will usually sign a single Franchise Agreement that permits them to set up their business in one agreed location. It can be seen as a way of “buying” into a job, as single-unit franchisees will typically not outsource the running of their business to a manager.