Should You Start A Franchise Business in 2012?

Hi Everyone, We recently asked MyDestination.com (one of our valued ExpatWomen.com sponsors) about why 2012 might be a great year for franchise businesses. If you have ever thought about becoming a franchisee, you might be interested in their response...

Neil Waller:

"The beginning of every year sees many different types of resolutions being made, from quitting smoking, to taking up the gym. Starting your own business is one resolution that is frequently heard, but all too often not followed through. The planning required, financial considerations and the likely success of a new venture, all tend to put people off. However, investing in a franchise business can negate many of these considerations; you can be your own boss and have all the benefits of having your own business, without many of the stresses and strains. Here is why 2012 might be your year for investing in a franchise...

When considering starting a business, the fear of failure leads most people to stay safe and plod along in their current jobs, even though they have a burning entrepreneurial desire. Investing into an already successful and prosperous franchise business will hopefully reduce your stress that the business might fail. If you are already joining a business that is profitable and proven, your franchise should benefit from the authority and reputation of the business you are buying into, significantly reducing the risk of failure.

Entrepreneurs will undoubtedly need much assistance when starting a business, as it is impossible to have adequate experience in all areas of business. When you join a franchise business, you are able to access this experience and expertise needed to grow your franchise, through a centralised support structure that will be in place. As a new franchisee you should be provided with assistance and advice on all areas required to succeed in becoming a successful franchisee (including marketing, advertising, sales and so on).

After all, it is in the interest of the franchise company that as a franchisee you develop your franchise as much as possible. This reduces the risk of making mistakes in developing your franchise, as you will always have a support structure to guide you through the many challenges you will face.

Purchasing a franchise is also significantly cheaper than starting your own business, where overheads often become extortionate very quickly. The main outlay will be the fee you pay for your franchise; this will depend on the size of the franchise that you are buying and what destination it is in. However, for this you should receive all that is necessary to start your franchise, such as a website if it is an online franchise, a restaurant, a shop or maybe some office space. The access to the already mentioned support structure is also invaluable.

In economically uncertain times, franchising does represent a fantastic opportunity to run your own business. The fact that banks and venture capitalists are highly reluctant to invest in start-up businesses, means that you will need to raise most of your business capital yourself these days. So, investing in a franchise could reduce your initial costs, and help to bring benefits to you faster.

Whether you franchise or start solo, I wish you all the very best with whatever you start in 2012! May it be a fabulous year for you.

Warmest regards, Neil Waller, Co-Founder, MyDestination.com."

MyDestination.com is a franchise based network of travel sites, powered by a diverse community of local experts on the ground, providing local knowledge and local deals.

Insights from Robin Pascoe, who Celebrates the 20th Anniversary of Her First Book for Expats

Hi Everyone,  Our wonderful friend Robin Pascoe, well known for her books about expat living, recently celebrated her 20th anniversary of the publication of her first book for expats (congrats Robin!). She reflected on this milestone on Facebook recently, and kindly gave us permission to republish her insights here for your easy reading...

From Robin Pascoe on 12 January 2012:

"I’m always telling people not to ignore important milestones in their lives, but did I mention I rarely take my own advice?

It’s the 20th anniversary of the publication of my first book for expats, indeed an anniversary of the first expat book that told wives it was OK to be angry and resentful of their husbands and to wonder, who the hell am I anyway?

Originally published in 1992 as “The Wife’s Guide to Successful Living Abroad”, in 1993 as “Culture Shock: A Wife’s Guide" but finally, under my own Expatriate Press, re-issued and updated in 2009 and given the title I wanted for it all along, “A Broad Abroad”, it was so much fun to put into words and print what so many women were feeling but no one was saying!

So today, in acknowledging this important milestone in my life (you always remember your first!) here are five great memories I associate with this book:

Of the many rejections I received when sending out the manuscript, my favourite that made me laugh out loud was from a Hong Kong publisher who wrote to me and said: “Expat wives have servants. Why do they need a book?”

The night the publisher in Singapore called me. We were living in Beijing and it had been months since I had sent them the manuscript. The managing editor apologized for just finding it, but she wanted it. I cheekily suggested there should be a follow up book for parents and the editor said, “start writing that now.”

My Chinese cook (yes, ok, I had a cook) came to where I was sitting at the phone, completely unravelled with joy, carrying a tray with a double shot of scotch and a cigarette for me. (No cook, no smoking and actually, no drinking anymore since I lost my fear of flying and no longer need to be fuelled by vodka).

The day the books arrived in Beijing I had a choice: I could go to the airport and be the first to open the boxes containing my new baby. Or I could attend a piano recital of my first baby (an 8-year-old Lilly). I chose my daughter and never regretted it.

My first speaking tour: Husband Rodney said, “You should go to promote the book in Tokyo, Hong Kong, and Singapore since you have friends in all three places who would be sure to help you.”

Me? “You mean: alone???”

Never mind that he pushed me out of the nest and my comfort zone, it was in Tokyo that I attended a lecture given by Dave Pollock whose Third Culture Kid bible was still years away from publication. I gave Dave a copy of my new book (since he’s quoted in it) and when he got up to speak to the school audience, the first words out of his mouth were: “I have just been given a book that I know everyone in this room will want to read.” A great friendship and mentorship was born. Like so many people, I still miss him.

Weeks after that first tour: I was sitting at the dining room table in Beijing with my then 3-year-old-son Jay reading a three week old Hong Kong paper, the South China Morning Post. Scanning the book page, I was, as the Brits say, gobsmacked.

“Mommy has the #1 bestseller in Hong Kong, Jay. Eat your carrots.” It was the beginning of leading a life I didn’t participate in (or know about) most of the time.

I realize I could probably write a hundred great stories associated with this book but won’t bore everyone to death. However, I have saved one last great memory that I cherish the most: The countless women who came up to me during my years on the road and said, “Thank you for writing this, Robin.”

Remarkably, the book (and all of the ones which followed) are still selling after all these years!

Find yourself in my books, as I used to say..."

Note: Robin retired from expat writing last year, but her books and videos are still available on her website, ExpatExpert.com.

Are You An American Expat Abroad?

Hi Everyone, If you are an American expat, here is some important information released this week by FAWCO (Federation of American Women's Clubs Overseas), with regards to tax returns and the IRS.

We would not usually highlight tax information for any one specific nationality, given we have members from 175 nationalities. However, one-third of our members are American, and this did seem important. Please ignore this if it does not apply to you. Thanks.

From FAWCO:

"Under the US tax system, US persons - citizens, green card holders and residents - are required to file annual US income tax returns reporting worldwide income. It is a legal obligation to ensure that "true and accurate" returns are filed with the IRS in a timely way to avoid risks of numerous penalties and, potentially, criminal prosecution.

Recently, the IRS has sent a strong message to US taxpayers residing abroad who may not yet have complied with their US income tax obligations. Taking advantage of the recently announced IRS "Overseas Voluntary Disclosure" program can potentially help taxpayers reduce penalties and avoid prosecution.

Note that OVDI is not the best solution for all US persons and not all US persons are eligible for the program. As always in the past, FAWCO strongly recommends that you consult a tax professional but, given the August 31 deadline for OVDI, you should do so quickly!

What is OVDI?

The 2011 OVDI is the latest in a number of efforts by the United States Government to encourage US persons who have not complied with their various US tax and related reporting requirements to become compliant.

The IRS has stated that the 2011 program is the non-compliant taxpayer's "last best chance" to come forward with an element of "certainty" on the amount owed to the US government. After this, the implications are that the IRS will use its full arsenal of penalties, and the possibility of criminal prosecution, to aggressively find and "punish" the non-compliant taxpayer.

What is required under OVDI?

The taxpayer must file all delinquent or amended returns and additional reporting obligations for 2003 through 2010 calendar years.

The taxpayer must pay all taxes, penalties and interest charges.

The deadline for participation in OVDI is 31 August 2011. This may be extended by 90 days if a request is submitted by this date.

What are the benefits of OVDI?

Under OVDI, individuals accepted into the program can avoid criminal prosecution. Costs, penalties and interest charges are clear and the individual has the peace of mind of being fully up to date and compliant. While there are alternative disclosure procedures, OVDI may provide the best opportunity for the lower fixed penalties for becoming compliant.

Click here for the full article on the FAWCO website, prepared with information for which we very much thank US Tax & Financial Services Ltd in London.

Please share this information with others around you..."