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Franchises Now Offering Money-Back Guarantees

Financial risk is the biggest deterrent for franchise ownerships to entrepreneurs. But what if that risk was eliminated? What if a franchise was to offer a money-back guarantee?

That's exactly what Service Brand International are doing now, according to Business News Daily. Essentially, they've decided to refund the whole franchise fee if the new franchisee does not meet $150,000 in gross sales after 18 months in business.

SBI's franchises include Mr. Handyman, Molly Maid and ProTect Painters. They've opted to refund franchise fees of $19,900 in Mr Handyman's case and $14,900 for Molly Maid.

"There is still a lot of fear for people starting a business in today's economy. If they went in knowing they could recoup their initial franchise fee if they did not meet specific criteria, it would help calm their fears," said Alex Roberts of ProTect Painters.

This is a really exciting offer designed to get more people franchising. It's not often you hear franchises taking such radical measures to ensure that it attracts entrepreneurs.

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