Starting your own business can be a rewarding experience, both financially and personally. But it’s also a challenging goal to pursue. According to a January 2024 article on the Forbes Advisor website, about 1.4 million small businesses opened in the U.S. from March 2021 to March 2022. However, 20% of small businesses fail within the first year, and 50% fail within the first five years. Since trying to start a business from scratch is an uphill job, starting a turnkey business like a Pearle Vision optometry practice has become a popular alternative. Let’s examine what kind of business this is, the boons and difficulties, and how to find one for yourself.
A Dependable Business Model
The turnkey business model refers to business models with proven systems and operations, able to be fully operational as soon as a new owner “turns the key” to open the doors. Turnkey businesses are designed to include everything necessary to start running once the purchase is complete. A common example of this business model is a franchise, such as Pearle Vision.
One of the qualities that makes a business a turnkey one is you’re not just buying a building and other physical assets; you’re buying additional, intangible assets that would otherwise take a lot of time and work to set up. Such assets provided by sellers/franchisors like Pearle Vision include:
- A business operations plan/manual
- A list of products and services to provide customers
- A pre-selected location or location selection assistance
- A list of established business supply vendors and premade supply chains
- A suggested management structure
Upsides and Downsides
A turnkey business franchise, like every business and franchise, has its strengths and weaknesses. One of the biggest perks is that this business model comes with a proven track record. For example, Pearle Vision has a track record of over 40 years in franchising, opening hundreds of locations across the U.S. Having a proven business model significantly reduces your risk of business failure.
Being a turnkey franchise, Pearle Vision franchisees also benefit from having much of the administrative system pre-organized. With much of the business management already arranged or taken care of by franchisor support services, Pearle Vision franchisees can focus on patient care. Instead of needing to set aside time to work on the business, Pearle Vision franchisees can concentrate on working in the business and seeing to their patients’ needs.
The turnkey model also comes with an existing customer base. This is especially true for franchises like Pearle Vision, since the franchise has multiple locations providing care to patients besides yours, helping your business gain attention and develop patient loyalty and trust. Finally, this model includes support from the franchisor (and sometimes the seller for non-franchised businesses). This support includes marketing, advertising, and business administration services to make smooth operations easier for you.
There are still some challenges with the turnkey model. Firstly, you don’t have complete autonomy in the operation of your business. While franchisors like Pearle Vision give franchisees as much leeway as possible with things like patient scheduling, you will have to meet standards set by your franchisor.
You may also find there are significant costs in comparison to starting a business from the ground up. You will need to pay for the setup work that the seller/franchisor did, and in the case of a franchisor, you’ll also need to budget for royalties and franchising fees to operate under the brand and receive the franchisor’s assistance. Lastly, you’ll need to perform your due diligence before buying a franchise to make sure both you and the franchisor are a good fit for each other.
Finding the Right Business/Franchise
On the subject of buyer diligence, there are several ways to search for a turnkey franchise:
- You can do the search yourself, contacting franchisors directly, researching their reputation, talking to their existing and former franchisees, and gathering other information.
- You can hire a franchise broker, who will find out what your goals, capabilities, interests, and other factors are and guide you through the process of connecting with a suitable franchisor.
- You can attend a franchise event, expo, or convention; these events are designed to help franchisors and franchisees connect, allowing you to see many franchise opportunities available to you in one location.
Being a business owner can be exciting and fulfilling. Being willing to rise to the challenge is an important part of being a successful businessperson, as is making informed, carefully considered choices. Choosing a turnkey model is a wise choice for people looking to make an impact with a business that has the best chance to last.
Take a Good Look at Franchising with Pearle Vision
We’re eager to offer you the opportunity to join our franchising team. Whether you’re looking to start fresh or buy an existing franchise, we have options available for you. Get started by contacting us today to learn more about franchising with Pearle Vision.
