Franchise opportunities are like paying someone for his or her business secrets and the use of their name brand. As a franchisee, you can hit the ground running even without previous entrepreneurial experience. You’ll need to operate under some of the new franchise’s basic rules and business model, but in turn you’ll reap the rewards of a reliable return-on-investment.

You’ve always loved Subway, so when a franchise opportunity became available in your area, you jumped on it. To qualify, you needed $250,000 in the bank and another million dollars to cover the building’s lease, equipment and start-up costs. You already had 40% of that cash lying around and the other 60% was secured through a small business loan, which was pretty easy to get. The franchising fee was around $45,000, which went directly to Subway. This is the only real upfront fee.

Then you’ll spend the next nine months learning how Subway operates so you can adhere to certain quality, service and menu standards. You’ll need to stick with their recommended location, dress code and training manuals, but you’ll be able to capitalize on these proven strategies. A Subway field consultant will check in on you periodically to ensure your success and you’ll pay 4% of your sales to the corporate entity. Technically, you’re not your own boss and you don’t really own the business, but you’ll own the assets you’ve purchased.

If you have the start-up capital, then franchise opportunities can be a great way to oversee a business without taking all the risk. The franchisor (the person or company leasing the rights to the business system) will sell you, the franchisee (the purchaser), the operating system and rights to the name brand for an initial sum of money, which is called the “up-front entry fee” or “franchise fee.” You’ll sign a franchise agreement which details your responsibilities and the initial time period of the obligation, which you may renew if you’d like. You’ll get training manuals, information dockets and other assistance like location selection. However, you’ll need to cover basic inventory, real estate leasing, furniture and fixtures on your own. Over time, you’ll pay ongoing royalty fees, which may be on a sliding scale or at a flat rate but will be spelled out in your franchising agreement. You may also need to pay periodical advertising funds that go into a pool for all franchisee owners operating under the same business name.

Selecting from among the franchise opportunities available is critical to your success. These business endeavors range from sports and restaurant franchises to travel and retail franchises. You’ll need to consider what sort of environment you’re interested in. For instance, fast food franchises may have you working late into the night, managing continuing turnovers of employees, dealing with the public and smelling like food when you come home. Or fitness franchises could require you to purchase tanning beds and workout equipment, scout for qualified dieticians and fitness trainers and recruit new clients. Writing down some of your likes, dislikes and goals is a great start. Next, you can hit the web and research the franchises available at your investment level and geographic location.