In the modern world, almost every second person wants to engage in their own business, which will regularly bring a steady income. But just how to choose a niche?
Recently, financial institutions began to offer entrepreneurs to open a franchise bank. The network of dealers is growing every year, as a result, the passive income of franchisors is also increasing. Bank franchise provides favorable conditions for both entrepreneurs and large financial corporations. What needs to be done to open a financial institution? Let's try to figure it out.
What is a banking franchise?
Using a franchise agreement, an investor can easily feel like a banker and open a financial institution. This way of doing business is quite convenient, since it exempts from paying additional taxes. In addition, he gives many privileges, which can not be said about doing business from scratch.
The task of the investor is difficult, but quite interesting. He will work by proxy submitted by a large bank. The purpose of such an organization is to develop a wide network of financial institutions in many settlements.
The main objectives of banking organizations are:
- provision of loans;
- issuance of personal, deposit and credit cards;
- sale of insurance packages;
- provision of leasing schemes.
Franchise Advantages and Disadvantages
Why is a bank franchise in Russia considered so profitable? There are many specific advantages of this method of doing business. All franchisors guarantee for the entrepreneur and employees of the organization the passage of special training courses for continuing education. In addition, the fees for using the franchise are not so high. All that a beginner banker will need to do to expand his activities is to deposit the necessary amount into the franchisor's account. The advantages of this type of business also include the almost complete absence of competition.
Bank franchise: what conditions must be observed when opening it? Typically, a banking organization supports the concept of creating one office in the village. Franchises are inherently unique. An entrepreneur can only engage in microloans or car loans. In addition, the franchisor usually provides qualified legal support.
Franchisor Help
The big advantage of running a franchise business is the ability to get the necessary advice from professionals. Franchisors usually control the activities of beginning entrepreneurs at the stage of starting a business. So, for example, they can help in finding a place for the office. In addition, they give the franchisee their big name, which makes it possible to immediately take a leading position in the market. As a rule, the majority of banking institutions opened according to this scheme pay off very quickly.
Initial investment and payback
How much is a franchise? The bank, reviews of which confirm its stable financial position, can offer novice entrepreneurs to open a business even with small initial investments. In fact, reviews about the banking franchise are very diverse. Some entrepreneurs note extremely positive aspects, namely: official employment, stable income and continuous business development. But you can meet negative aspects, among which it is worth highlighting the strict implementation of all instructions, and in the event of an economic crisis, you need to be prepared for the complete liquidation of the company. Therefore, before opening a financial institution, be sure to familiarize yourself with all the subtleties.
According to statistics, to launch a banking institution from scratch, you need several tens of millions of rubles. Using a franchise can significantly reduce this amount. It is for this reason that newcomers to the banking sector prefer this particular scheme of doing business.
Negative moments
The main drawback of franchising is the need to strictly follow all the conditions of the franchisor. The head office can constantly monitor subsidiaries. If the results of the checks do not satisfy the owners of the company, the branch will be closed.
In recent years, cases of liquidation of banking institutions have ceased to be a rarity. This means that if a license is taken from a bank, the franchisee will immediately lose his earnings. It is also worth considering that if the bank's reputation starts to deteriorate, this will affect the popularity of branches.
We open a franchise bank
If you want to open an office of a financial institution in your city, then first you will need to find a bank that wants to expand its network. To conduct negotiations with the management of the bank, it is better to create a special group of employees. If a financial institution decides to cooperate with you, it will send you a franchisee form. The rationale should be described in detail in this document. Simply put, here you will need to give the reasons why you need a bank franchise. In some cases, a financial institution may ask you to prove a potential customer base.
If your rationale suits the franchisor, he will offer you to study the business plan. At this stage, individual financial planning is also carried out. At the final stage, the bank, as a rule, offers its concept of branch development. As for reporting, here different banks present different requirements. Someone requires keeping in touch by phone, and someone needs daily detailed reports by e-mail.
Franchise List
Below is a list of popular banking franchises and their conditions:
- "Savings Bank". A financial organization was opened in 1992, the bank began working on a franchise in 2008. Currently there are 8 branches. The cost of acquiring a franchise is 150,000 rubles. The franchisee is exempt from royalties and advertising fees. The franchise pays for itself in two years. The monthly income from doing business is approximately 100 thousand rubles.
- Fosborn Home. The company has been operating since 2005, a franchise offer appeared in 2011. To date, 23 offices are operating in the franchise. The payback period is 7 months. The average monthly income is 200 thousand rubles.
- "Bank guarantees." The institution opened in 2009. The franchise appeared in 2013. Today, about 580 company offices operate on it. The cost of the franchise is 200 thousand rubles. There is no advertising fee; royalties are 9,000 rubles per month. The payback period is only a couple of months. To do business, you need a room with an area of 30 square meters.
Many are interested in doing business on behalf of a well-known banking structure, for example, Alfa Bank.Is the franchise of this financial institution profitable or not? Such an offer is much more expensive, and the conditions for starting a business are quite strict.
We should also mention the most popular bank in our country. Sberbank does not have its own franchise, but it does not need it. A couple of years ago, a special program called “Business Start” appeared, the essence of which was to issue loans for entrepreneurship. It turns out that during the existence of this program, Sberbank issued loans to more than 40 franchised banks.
Of great interest today is the Tinkoff franchise. Instead of the usual scheme, the bank proposes to open an affiliate call center. Such an organization allows, using the resources of a large banking organization, to develop their own business and generate income.
Otkritie Bank also offers interesting conditions. The franchise of this company will surely attract those who are interested in high income. Specialists of a financial organization will help you understand all the conditions, as well as select the best offer for you.
Finally
This type of entrepreneurial activity as a bank franchise is geared towards obtaining a stable high income. The main advantage of working under this scheme is the ability to get the necessary advice and support at any time. It is for this reason that it is especially beneficial to open a bank under a franchise. You can see this from your own experience. However, before buying a franchise, be sure to consider all the possible risks.
