Engel & Völkers Franchise > Blog > Franchising as an investment? How to invest your capital profitably with a start-up

Franchising as an investment? How to invest your capital profitably with a start-up

Traditional asset accumulation is usually associated with forms of investment such as stocks and funds, savings or investments in raw materials and valuables. The purchase of real estate for subsequent rental has also proven to be a profitable investment in many markets. But what if you could combine your professional ambitions and the desire to work independently with the potential of low-risk and sustainable asset accumulation? In this article, Engel & Völkers explains why setting up a company in a real estate franchise system is particularly suitable for multiplying your initially invested capital and at the same time realizing yourself professionally. Learn more!

The real estate franchise as an investment sector? This is how your start-up investment works

If your new professional franchise activity is to be understood as a capital investment, the required entry amount is to be understood as an investment sum: The equity allocated for this purpose is "invested" in business premises, furnishings, team acquisition and the franchise fee. The aim of this investment strategy is to improve your own income over the long term compared to your previous activities and in this way to increase your invested assets over the years - it is therefore important to understand that this is a long-term investment strategy.

When you choose the real estate brokerage sector, you are choosing a sector of the economy that is growing rapidly in large parts of Europe and which in principle makes an attractive return possible for start-ups. However, you should note that an investment in a franchise company should be pursued as an active form of investment that requires a number of correct decisions and personal commitment if it is to achieve the desired success. The following factors are essential ...

- Different charts illustrate the different financing options in the real estate franchise

How choosing the right franchisor affects your investment as a real estate agent

When preparing your business investment, the first thing to do is to find the right franchisor for your project. This is primarily characterized by a high level of awareness, successful business reports, maximum transparency and the most comprehensive possible franchisee support. Since you take over the business model of your franchisor, you can minimize the risk by choosing the right license partner, especially since their success has ideally already been proven at many international locations. Franchise fees also play an important role as they ultimately affect the return on your investment. You should therefore ensure that you create a rational relationship between one-off and ongoing charges to the franchisor on the one hand and your expected sales on the other. Taking these criteria into account, the Engel & Völkers real estate broker franchise offers you first-class entry opportunities: With its distinctive corporate identity, the Engel & Völkers brand stands for high-quality real estate brokerage services at over 800 locations worldwide, which have recently led to annual increases in total sales. Comprehensive system integration for every new franchisee, extensive training opportunities and a powerful platform for real estate agents are the best arguments for investing in a franchise partnership with Engel & Völkers. You also benefit from reasonable conditions and attractive term options for your franchise license. We would be pleased to be able to present our range of services to you in detail soon!

The location as a key success criterion for your franchise capital investment

Where you open your real estate franchise business is also jointly responsible for the returns on your investment. Depending on the supply and demand structure of a market and the different price structures in the corresponding region, different business approaches are required, which in combination influence the sales potential of your real estate brokerage company. Your personal skills as a managing director and practical aspects such as proximity to your place of residence and social environment also have an impact on your overall performance as an invested franchisee. At Engel & Völkers you enjoy the privilege of being able to choose from a large number of exclusive license areas throughout Europe, in which you receive the sole rights of use of our representative brand. Whether in Portugal, Spain, Germany or Belgium: As an Engel & Völkers license partner, there are no limits to the regional structure of your corporate investments.

So if you are looking for an alternative to traditional asset classes that offers a performance-based return prospect and at the same time allows you to take the step into professional independence, a franchise partnership with Engel & Völkers is an excellent decision. Together with us as your service-oriented franchisee, the world of the successful real estate broker business is open to you - simply fill out our contact form or call +49 (0) 40 36 13 10 to take your first step towards successfully building up your wealth. We look forward to you!

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Engel & Völkers
  • Vancouverstraße 2a
    20457 Hamburg
  • Fax: +49(0)40 36 13 12 22

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