Investment:£100k+
Franchise Focus Property values
Interested in the property investment sector? All your questions are answered by the Platinum Property Partners franchise
INVESTMENT LEVEL: FROM £300,000
What is the true value of a franchise investment fee? That’s often the million-pound question. What do you actually get in return for paying a franchise fee? Joining any franchise requires a certain amount of capital investment to fund the development of your business, as well as the upfront and ongoing fees paid to the franchisor, which can often be signifi cant. It is therefore critical to determine whether the franchise off ers value for money, but that is easier said than done. In many cases, you’ll hear such fees
justifi ed as a cost for gaining access to a proven system, licence to operate under a well-known brand and in a certain territory, and to cover the training and support provided.
All of that is, of course, true. Sometimes, however, it’s hard to convey that ‘price’ is what you pay and ‘value’ is what you get, especially as much of the value off ered by franchisors is intangible. It’s no diff erent with Platinum Property Partners, the fastest-growing premium franchise in UK history and the world’s fi rst property investment franchise. When it comes to property investment, and buy to let specifi cally, millions of people in the UK have done it – and pretty successfully if headlines are to be believed.
So what value can a property franchise provide you with? Owning assets has proven to be one of the most secure routes to wealth creation for decades, but take away the prospect of capital growth and the investment becomes much less appealing. This is why, when he came up with a model that would ensure buy-to-let properties generated a signifi cant income, Steve Bolton wanted to combine the security of property with the certainty of franchising. He founded Platinum Property Partners
to turn a complex, yet highly rewarding, strategy into a simple step-by-step system that others could follow to earn £50,000 to £150,000 per year gross profi t. That was more than 10 years ago and a successful track record has followed. The value for money Platinum off ers its franchisees is in its vast amount of
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knowledge and experience in the sector. Just think, would you know how to increase the rental income of a standard buy-to-let property by up to 40 per cent? Would you know what types of properties to buy and where; how to cost-eff ectively refurbish, let and manage those properties; and when and what licensing and planning permissions are required? Would you be ready to react to unexpected legislation and tax changes?
Add to this all the planning and licensing legislation, plus the impact that external factors such as an economic downturn and Brexit could have on the performance of a property business, and you can see how, potentially, there are many costly mistakes that could be made.
The tangible benefi ts Many franchisees compare joining Platinum Property Partners to paying an insurance premium or a fast track to success. They have also calculated that being part of the franchise has saved them thousands of pounds annually on the development and running of their property businesses, because Platinum has a dedicated network of suppliers, including accountants, builders, insurance providers and much more. As a result, all 300-plus of them now own more than 950 properties across 200
towns and cities throughout the UK that generate an average annual gross profi t of £17,000 each.
The real question is: what is your perception of value for money? Whatever franchise you’re considering, you always need to think about these two key factors: expected returns and how you will achieve them. Taking into account capital required and all associated costs of being a franchise partner, is the earning potential more attractive than if you were to start a similar business on your own? What’s arguably more important, though, is how much faster you’ll be able to achieve success and if some of the normal stresses and strains of starting a business will be somewhat alleviated by having someone there to support you. Only you can decide if there’s a price
you’re willing to pay for expert ongoing education and support that will ensure you have a profi table and sustainable business for the long term.
Platinum Property Partners Property investment
www.platinumpropertypartners.co.uk info@platinumpropertypartners.co.uk 01202 652 101
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