J Darrin Gross I'd like to ask you, Giuseppe Grammatico, what is the BIGGEST RISK? Giuseppe Grammatico Two-parter. I think number one, by not not taking a chance on yourself and looking at a business, the risk is missed opportunity, the what ifs and the regrets. That that that's just the short. I say two part. That's the short one is not not giving it a shot and then regretting that and your last days on earth. And I think that's a huge risk, different type of risk, but betting on yourself and not just going with the safe what you feel at that time is the safest bet. Now you move forward with the business. What what's the biggest risk? Well, it's your it's your investment. It's your time. This thing doesn't work. It's the it's the money you put it you put up front. And what I tell everyone is that yes, there's absolutely a risk in any business, franchise or not. You can minimize it by obviously doing your due diligence, not rushing into a business because your neighbor did well with a certain franchise. So, with that being said, the the risk at hand is the investment you put into the business. So just say we'll call it 200k in. It's not working for whatever reason you're looking to sell. You don't walk away from the business. You are potentially selling the business, and you may sell the business for what you put in. It may be a little bit less; could potentially be a little bit more if there was some revenue generated. But there is a financial and time risk-the time that you put in that you didn't generate the income. It's also the financial risk. You put the $50,000 franchise fee down payment. Now you you've run it, put another 50k to run it for three months. It's not generating revenue, not working out. So do you lose 100k? The answer is no, because you're not walking away from it. You can go back to the franchisor. They're going to have you. They're going to either help you sell it, and or you could do it on your own. So depending on the route, you may take a hit, maybe a broker fee in there, maybe a flat fee, whatever the case may be, to sell that business. But there's absolutely a financial risk that that comes into play, like you'll you'll have with any other business. With a franchise, I feel like it'll be a little bit easier to to sell, just because you'll if it's a more of an established brand, you have a network of other franchisees to go to. If not, there are 1000s of franchise coaches like myself that will be able to put that in front of their families and candidates to help you sell it. So, so there's definitely risk in there. What I recommend to everyone is, you know, set up the right legal entity, work with an attorney and accountant to set that up. And something I didn't know if I could give, you know, my biggest piece of advice is create a successor plan. I did not have that. I didn't know what the hell that was my first year in business, 27 years old. And a successor plan has two parts: who takes over the business, should something happen to you, get hit by a bus, you're in the hospital, you're in a coma, and then. Who takes over the actual assets? Who owns the business? So, for example, for me, it was my wife owned complete had complete control of the business and assets, and then I had someone else, a neighboring franchisee, that would take over the day to day. It could be the same person depending on who it is, but my spouse had her own job. She wasn't involved in the business, so she wouldn't be able to run the day to day. So, having that successor plan in place. So what does all all that mean at the end of the day? The misc is never the risk never goes away. https://www.linkedin.com/in/giuseppe-grammatico ggthefranchiseguide.com
