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Brick-And-Mortar vs. Home-Based Business: Which Franchise Option is Right for You?

Posted on Nov 16th 2021

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Brick-And-Mortar vs. Home-Based Business: Which Franchise Option is Right for You?

Introduction

Owning a franchise centered around dogs is an exciting opportunity, but it can also be “RUFF!”

In general, owning a brand-new business can be stressful, but beginning a new location as a Franchise Owner for an already proven business lessens the risk and makes things more enjoyable. Rather than building from the ground up with no proof-of-concept or clear-cut blueprint for success, opening a franchise provides the backing of a proven business.

Pet based franchises are becoming more popular than ever. There are pet stores, dog training businesses, grooming salons, and of course doggy daycare and overnight boarding facilities. People love their pets, and the adage about a dog being man’s best friend holds true to this day. This makes the dog market a strong one to enter for new Franchise Owners.

There are many things to consider before starting, not the least of which is where the franchise will be located. There are two primary options: Brick-and-mortar franchises, which operate out of a dedicated facility; and home-based franchises like Dog Training Elite which can be run from a home office. But how can the entrepreneur decide which option is best for them? Here’s a look at the pros and cons of both types of franchise models.

Brick-and-Mortar Franchises

A brick-and-mortar franchise is typically what people think of when they consider owning a business. In this setup, the business owner purchases or leases a commercial building, preferably in a high-traffic area, and sets up shop there.

Pros

Location Options – When opening a franchise with a brick-and-mortar location, chances are high that there will be several commercial buildings available for lease. This gives a little more flexibility in where the business is located. There may be three different buildings within the town that are perfect for a new pet-based franchise to move in, and the entrepreneur then has the option of choosing which location they believe is best.

Foot Traffic – Advertising can be a challenge, and sometimes the best form of advertising is future customers seeing the building and sign as they go about their day. A home-based business isn’t likely to have the foot traffic of passersby to gain customers who simply notice the business by chance.

Tradition – The traditional way of opening a business revolves around the brick-and-mortar location, and there are some customers who may prefer to do business in a commercial building.

Cons

High Upstart and Upkeep Cost – When opening a brick-and-mortar business, expenses can be high. Between rent on the building and utilities, a potential Franchise Owner is looking at a big portion of their cash flow going to these expenses, which can be devastating when trying to gain traction as a brand-new franchise. Further, even after a lease is attained, there is sure to be the renovation of the existing structure or even a brand-new building to be constructed.

Red Tape Galore – Leasing a commercial building comes with a lot of paperwork and red tape. In most cases, the Franchise Owner is at the mercy of the management company that owns the building and the process of getting a new business moved in can drag on for months. This barrier to entry can be frustrating for an entrepreneur who is ready to get started as quickly as possible.

Locations May be Less Desirable – We put location selection in the list of pros, as often there are multiple options for location. However, there are also instances where there are no good vacant or affordable locations in the town where the Franchise Owner wants to open their business. This leads to a longer ramp-up time as they wait for a desirable location to become available, or having to make do with a subpar location to rush to market.

Dog Training Elite Owner plays catch with dog.

Home-Based Franchises

Setting up a business from home is becoming more common. This offers a stark contrast to the brick-and-mortar setup, where the location of the business is already secured and being paid for, making it an attractive option for many Franchise Owners. Here are some benefits of a home-based franchise and some of the drawbacks.

Pros

Lower Overhead – Rather than paying for a separate facility in the business district, home-based Franchise Owners conduct business in the homes where they already pay rent or a mortgage, along with utilities. Overhead is significantly lowered compared to a brick-and-mortar location.

Quick Ramp-Up – Franchise Owners of a home-based business have a lower barrier to entry. There is no waiting period on legal proceedings surrounding a leased building, and no waiting for time-consuming construction projects. Our Franchise Owners can get started in a matter of weeks of signing their franchise agreement and attending training!

Schedule Flexibility – The Covid-19 pandemic has changed all our lives, and for the past year many have been working from home. This may even have been the time during which future entrepreneurs began to consider opening their own businesses as they pondered their future. One thing is for sure, many people have grown to enjoy and appreciate the flexibility of working from home. The continued flexibility of starting their franchise business from home is quite appealing for this reason.

Cons

Low Foot Traffic – Unlike a brick-and-mortar location, there’s a good chance that your home is not in the type of highly traveled area that makes it an easy “window shopping” option for passersby. For a store, this can be a struggle, though for a service-based business much of the clientele will come from word of mouth or digital marketing. Additionally, owners of home-based franchises that involve being on-the-go, like Dog Training Elite, report that their wrapped vehicles do a lot of good advertising for their business when potential customers spot them in traffic!

Separation of Personal and Business Time – Entrepreneurs are, by their very nature, deeply involved in their business and often have a hard time switching out of work mode. Having a home-based business can make this more of a challenge, as there is no leaving the office at the end of the day to create a hard line separating work from personal space. This can be overcome by simply setting boundaries and sticking to predefined business hours.

Final Thoughts

While brick-and-mortar and home-based businesses have their strengths, for a service business, the in-home option makes a lot of sense.

Dog Training Elite is an exciting franchise that focuses on a balance-positive method to train dogs and their owners right from home! Founder John Mestas, who has over 40 years of experience in successful dog training, is bringing his proprietary time-tested and proven training methods to Franchise Owners in cities all over the U.S. Because the franchise can be run out of your home, with training sessions taking place in dog owners’ homes or in local neighborhood parks, overhead costs are kept to a minimum.

Dog Training Elite Owner high fives dog.

The starting investment is just $82,800*, which is a drop in the bucket compared to the expense of getting started with a traditional brick-and-mortar business, especially in the surging pet care industry!

If owning a home-based business sounds appealing, Dog Training Elite may be just the PAW-fect fit for you! Visit our franchise website today to get started.

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