Multiple streams of income—a common phrase for any one who has delved into the world of financial planning. Robert G. Allen, a famous financial advisor, has been touting this road to wealth since his first book, Nothing Down, became a #1 New York Times bestseller. Multiple Streams of Income: How to Generate a Lifetime of Unlimited Wealth followed in 1998. It’s a financial model that is hard to not get behind. Really, who wouldn’t want multiple streams of income? In today’s ever-changing economy where over 75,000 people in the U.S. were laid off in January alone, jobs do not hold the same sense of security they once inspired.
Enter the world of franchises—businesses that are intrinsically set up to establish multiple streams of income. Franchise owners are buying multiple locations with the intent of becoming semi-absentee owners. Not only do they collect income from multiple locations, those with financial savvy set up multiple streams of income within each location. Take the restaurant franchise owner who sells homemade sauces, works with take-out organizations and caters special events. Consider the salon franchise that sells exclusive product lines and offers multiple services and specialties. Many franchises are already set-up to produce these additional revenues.
Multiple streams of income offer multiple touch points—additional ways to reach the same customer and offer them more services or products, keeping them loyal to you and the brand. Consider what will benefit your client. Would an online retail site in addition to brick-and-mortar make purchasing easier when they’re too busy to get to the physical location? Would a kiosk create both brand awareness and ease of purchase?
One of the many benefits a franchise offers is the value of the brand. You’re not creating something from the ground up. You’re not marketing an unknown entity that requires constant repetition before becoming a household name. Considering the risk versus reward, franchise is an easy choice for first-time entrepreneurs. You have a company with a wealth of experience behind you and a built-in mentor. That’s pretty awesome.
As the saying goes, “Don’t put all your eggs in one basket.” Another wise adage is “Straight from the horse’s mouth”. If you’re wondering what your customers want, ask them. Surveys are helpful tools that keep your clients engaged and are easy to implement with free services such as SurveyMonkey. Companies are usually happy to refresh their brand by incorporating new products or services into their franchises as long as they stay true to the brand and represent their core beliefs and mission statement. Take the plunge and become one of the success stories that franchises and multiple streams of income offer.