Start A Security Franchise Or Your Own Company?

When it comes to security franchises, there are a lot of them to choose from. So how do you decide if starting a security franchise is the right move for you? Here are some things to consider before making your decision.

What Is a Franchise?

A franchise is a business model that can be adopted by an entrepreneur to start their own business. A security franchise typically provides the franchisor’s brand, marketing materials, and operational support to help get the business off the ground.

Some popular franchises are:

Signal 88 Security
SHIELD Security Systems
AmeriCop

There are a few key differences to consider when deciding whether to start a security business from scratch or buy a security franchise.

Starting a security business from scratch will require more effort to get the business off the ground. However, you will have complete control over the direction and operation of your business, and you have no ongoing franchise fees to pay.

Buying into a security franchise may require less initial investment, as the franchisor has already established the brand, created marketing materials and developed standard operating procedures (SOP) to run the business smoothly. In exchange for this, you will be required to follow the franchisor’s guidelines and operate your business according to their standards. You will also be required to pay ongoing franchise fees to the franchisor.

There are both pros and cons to each option.

Pros of Starting a Security Franchise

There are several reasons why starting a security franchise might be a good idea for entrepreneurs:

Security franchises are well-established businesses with a proven track record.
Security franchises have built-in name recognition.
Security franchises offer support and training from the franchisor.

Security franchises come with pre-established brands and marketing materials, which can save time and money in getting your new business off the ground. In addition, franchisors often provide operational support and funding to help get the business up and running.

Finally, security franchises offer an established business model that has been proven successful in the past. This can give new businesses a leg up on the competition.

However, there are also some potential downsides to starting a security franchise.

Cons of Starting a Security Franchise

While there are many benefits to starting a security franchise, there are also some potential drawbacks. Some of the cons of starting a security franchise include:

Security franchises can be expensive to get started.
Security franchises have strict rules and regulations to follow.
Security franchises may limit your creativity and autonomy.
The security franchise will require you to pay ongoing franchise fees

Now that you know more about what starting a security franchise entails, you may be wondering if there are any benefits to starting your own security company instead.

Pros of Starting Your Own Security Company

Starting your own security company has a lot of advantages over starting a security franchise. Here are four of the most important ones.

Complete Control: When you start your own security company, you have complete control over the direction and operation of the business. This gives you the freedom to make decisions that are best for your company and employees.
Greater Flexibility: Security franchises typically have strict rules and regulations to follow, which can limit your creativity and autonomy. When you start your own security company, you can make decisions based on what’s best for your business and employees.
Potentially Lower Startup Costs: It can be expensive to start a security franchise, as you will need to invest in marketing materials, training, and products from the franchisor. When you start your own security company, you only need to invest in what you need, which can save money.
Easier to Sell: If things don’t work out with your security franchise or you want to move on to something else, it can be difficult to sell a security franchise. However, it is easier to sell a standalone security company because there is no required investment or contract binding the buyer and seller together.

Let’s look at the cons of starting your own security company.

Cons of Starting Your Own Security Company

While there are many benefits to starting your own security company, there are also some potential drawbacks. Some of the cons of starting your own security company include:

Security companies cost some money to get started.
Security companies have strict rules and regulations to follow.
When you start your own security company, unlike with a franchise, you are not following a proven business model. As a result, your chances of success are lower, in general, than purchasing a franchise.

There are over 71,000 security companies in the United States. Clearly many entrepreneurs have figured out how to succeed in this industry.

Conclusion

So, what’s the verdict? Should you start a security franchise or your own security company? The answer depends on your specific needs and goals. Security franchises offer many benefits, such as name recognition, support and training from the franchisor, and a proven business model and processes to follow. However, security franchises also have some drawbacks, such as potentially high startup costs, ongoing franchise fees, and restrictive rules and regulations.

On the other hand, starting your own security company has several advantages. You have complete control over the direction of the business, greater flexibility in making decisions, potentially lower startup costs, no franchise fees, and an easier time selling the business if/when needed. However, there are also some potential downsides to starting your own security company, mainly that you are not following a proven business model. So before making a decision, it’s important to weigh the pros and cons of each option carefully.

Start a Security Franchise Or Your Own Company?