Acquiring the Linea Snella Franchise as a Business Opportunity for Self-Employment

Franchising is a method of business cooperation in which the owner (franchisor) of a product, process, service or brand enters into an agreement with a partner (franchisee) regarding: In addition to the aforementioned rights, it also includes the preparation and transfer of the entire business concept and plan for managing operations. Therefore, the franchisor first develops a pilot unit, in which they perfect all necessary operations through testing, such as: She conducted a SWOT analysis and graphically presented the results of a questionnaire for potential customers. The results of the analysis showed customer interest, especially when free services were offered.

Problem

Franchising is a method of business cooperation in which the owner (franchisor) of a product, process, service or brand enters into an agreement with a partner (franchisee) regarding: In addition to the aforementioned rights, it also includes the preparation and transfer of the entire business concept and plan for managing operations. This includes training and education of staff for specific tasks, promotion, advice on financing, sales and development, and on organisation. Everything related to the establishment and development of a new business is therefore taken care of.

The franchisor essentially sells a proven business concept that can be copied. The concept of franchising works so well because of the ingenious simplicity of replication. A tested model can only become a successful franchise if it can be replicated by an average person.

Solution and Method

Therefore, the franchisor first develops a pilot unit, in which they perfect all necessary operations through testing, such as: The fundamental characteristic and at the same time advantage of franchising is the possibility of rapid market share acquisition. Often such market penetration is faster than an approach with one's own capital, financing and management. Acquiring a large market share, in addition to satisfaction, also ensures a rapid return on the initial investment.

The author of the diploma thesis presented the functioning of the franchise system. She presented the advantages and disadvantages of the franchise system from the perspective of the franchisor and the franchisee.

• the right to use the brand;
• the right to use a well-known name;
• the right to production and distribution and other rights based on the agreement between both parties.

Results

She conducted a SWOT analysis and graphically presented the results of a questionnaire for potential customers. The results of the analysis showed customer interest, especially when free services were offered. Despite the favourable result of the analysis, I believe that before purchasing, the franchisee must have a good understanding of how the franchise system operates, and above all must be honest with themselves and aware that they will have to radically change their lifestyle.

The purpose of the diploma thesis was to present the method of franchise business and to determine whether it is possible and sensible to acquire the Linea Snella franchise, which would enable the author to become self-employed. In the first part, she presented the functioning of the franchise system and its characteristics. In the second part, she presented the functioning of the franchisor Linea Snella, described the advantages and disadvantages of the franchise, and with the help of a SWOT analysis and questionnaire analysis formed her own opinion on the sensibility of purchasing the franchise system.

She began with the definition of franchising, where she explained the method of business and the characteristics of the franchise system. She described the history and development of franchise business and the functioning of the Section of Slovenian Franchise Companies. In the next chapter, she explained the importance of planning in the field of sales marketing, planning revenues and expenditures, and planning costs and banking operations.

In the fourth chapter, she addressed the purchase of a franchise, where she explained the importance of testing the franchise system. She then listed and described what a franchise manual must contain. It seemed very important to the author what the franchisee must know before purchasing a franchise and what dilemmas they must resolve with themselves, so she wrote this in the form of questions.

This is followed by an informative questionnaire that the franchisor gives to the franchise buyer with the aim of getting to know them better. The contractual relationship that arises between the partners in franchising requires that they are familiar with the content of the contract and with individual provisions in the contract. Their business with the franchisor depends on the contract.

In the second part, she first presented the functioning of the franchisor Linea Snella. I was attracted by their way of working and care for customers. She conducted a SWOT analysis, in which she determined what advantages and disadvantages as well as opportunities and threats would await me upon entering the market.

She also described the advantages and disadvantages from the perspective of the franchise buyer and from the perspective of the franchisor. She conducted the questionnaire analysis by analysing each question with the help of tables and graphs and adding a brief comment. In this way, she obtained the opinion of future customers and determined their way of thinking, which significantly influenced my decision to purchase the Linea Snella franchise.

Whilst writing the diploma thesis, she learned about the functioning of the franchise system. She found that a good idea and initial capital are not enough. Careful planning is necessary, getting to know the franchisor well, and before concluding the contract, being honest with oneself above all and determining whether one is suitable for this business.

The Linea Snella franchise system began operating in Italy. Linea Snella in translation means slender line. In Slovenia, there are salons in Ljubljana, Celje, Nova Gorica and Dolenjske Toplice.

The salon in Ljubljana opened first, and due to great interest and successful operation, the other salons followed. As a prospective customer, she visited the salon in Celje. They fulfilled all promises regarding free consultation, were friendly and appeared professional.

She herself would like to have such a salon, but after thorough consideration she concluded: If she were to purchase the Linea Snella franchise, she would: However: I believe that purchasing the Linea Snella franchise is an excellent opportunity for business expansion, but the purchase of this franchise system is less suitable for complete beginners. The purchase of this franchise also seems to the author to be an excellent investment. In doing so, it would be necessary to create a business plan and present this business opportunity to a potential investor.

She herself will not decide to purchase because too many doubts arose, which she described.

• she would have to establish a company;
• have sufficient initial capital;
• due to the extensive programme, she would have to employ professional collaborators;
• she is not completely convinced that this is the best franchise for body care, because there are too few possibilities for comparison;
• she would not have time for development, because she would be too burdened and bound by contract to this business;
• she would have to radically change her way of life.