With $100,000 to invest, you could buy an Orange Theory franchise requiring $350,000 total upfront and generating $100,000 annual owner income, or an Amazon FBA gardening business already making $200,000 revenue for $82,000. The franchise demands full-time work and charges 8% royalties; the FBA business runs on minimal weekly hours.
You have $100,000 to invest and you want to own a business. Do you buy an Orange Theory franchise for $60,000 or an Amazon FBA gardening business for $82,000? So the Orange Theory franchise business has a franchise fee of $60,000 roughly, which means you need $60,000 upfront just to get access to the Orange Theory name and be able to use it from here on out. It's going to come with marketing materials and access and rules to follow, and it will make running that business much easier. You are going to have to pay a royalty fee of 8% of all your earnings to Orange Theory forever. You're going to need workout equipment and real estate. You need about $350,000 cash to actually get it going. Average revenue is about $850,000, which is not bad. Income on that $850,000 is probably around $100,000. But you do have to run that business every single day and work there full time. Now let's look at the Amazon FBA gardening business. It currently already makes money, about $200,000 a year. The income on that is only $43,000, but the current owner runs it with just a couple hours a week. You do have to buy the inventory as well. One of the nice things about this business is it's FBA, or Fulfilled by Amazon. So Amazon actually does the fulfillment for you once you get your products and ship it to their centers.
You wont believe what else the founder started #opensea #mergersandacquisitions #venturecapital
