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Financial second conjures up look after entrepreneur, says franchising govt

Financial second conjures up look after entrepreneur, says franchising govt

For José Carlos Semenzato, founder of SMZTO, the political scenario will have little relevance to business success or failure

The high interest rates and inflation inspire caution for the entrepreneur who wants to create a business from scratch. This statement was made by José Carlos Semenzato, 54, founder of SMZTO, the largest franchise holding company in Brazil, which controls brands such as Oakberry, L’Eentrecôte de Paris, Espaço Laser, Odonto Company and Oral Sin.

For him, franchising is a comfort for those who want to undertake. “This is an absolute certainty for someone who has followed this trajectory for 30 years and who operates more than 4,000 franchises today”, he says. to be the best at everything you do. Still, he says that today there are opportunities for everyone, and they go through training and studies.

In a scenario of political and economic uncertainties, what is the recommendation for those who are starting? The market today has a high interest rate and, in the global macroeconomic scenario, there are players working to increase inflation. Therefore, this is a moment that inspires, yes, great care for the entrepreneur who wants to create a business from scratch.

In contrast to this scenario, franchising brings comfort, because, when acquiring a franchise, the entrepreneur then has a model already tested by the market, with a strong brand and marketing. This causes part of the risks to be mitigated.

But, even with the advantages of franchising, I have to reaffirm that a dose of care is needed at this time.

I, in the place of any entrepreneur, would not put the political scenario on the agenda in the decision to undertake or not. My belief is that business will continue at the same pace, having its difficult variables and its competitive advantages. This is a factor that will have little relevance in the success or failure of the entrepreneur this year.

Starting with a franchise then is a way to undertake with more safety? Undertaking is not creating something new from scratch. It is possible to undertake by buying a franchise and creating a multi-sector group with a huge portfolio to, in five or ten years, become relevant as a multi-brand franchising entrepreneur. With this it is possible to mitigate the risk.

I’m not against [criar algo novo do zero] And I don’t mean to say that you can’t venture out. There is still space, but it is very expensive. That’s why you need to know that the pain can be great on this path. I am in favor of innovation, but it needs to have limits. We won’t have invention for everyone and certainly most will die with that dream.

That’s why I say that investing in a franchise is an important alternative in the context of maturity in Brazil. This is an absolute certainty for someone who has followed this path for 30 years and who operates around 4,000,000 franchises.

What should be put in the account when deciding to undertake so? When acquiring a franchise, one must take into account the reputation of the franchisor. Never buy a franchise without talking to a significant number of the brand’s franchisees, who will say that the business is good enough for you to sign the acquisition.

Another point is the certainty of having enough capital to set up the business. It is possible to finance a part, as long as this does not create a payment greater than the company’s profitability. You need to have this planning, and a franchisor can help you with that.

Really liking the activity is another important point.

What is the importance of training for those who intend to undertake?Today my great recommendation for young people is studying. When I was 14, I took a free course in programming and computing. Today there are several that I could mention, such as Senac, Instituto Embelleze [área de estética] or the Gourmet Institute [gastronomia]🇧🇷

Young people sometimes, believing that they will not be able to attend a good university, drop out of school, but they shouldn’t. You have to take a technical course, get your first job, and then go to college. There are very good and relevant technical schools.

Empower yourselves. You will only become better and different in the work environment if you really invest in training. Education moves, education transforms.

What advice do you have for anyone thinking of expanding, either through franchising or with new projects?Brazil has always been a barn of opportunities, especially in the franchising sector. We have wonderful projects available, and under no circumstances do I speak strictly of SMZTO, because there are other incredible brands in the country to undertake.

But before thinking about growing and expanding the business, I think it is very important to assess whether it is prepared to grow and expand. Planning and prior analysis can help to avoid very serious mistakes, which sometimes lead to debt.

Source: Leaf

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