Franchising reduces risk, but it doesn't eliminate it. Some franchisees still struggle, even with a proven brand behind them. 1. Underestimating the Capital Required Many new franchisees budget only for the franchise fee, forgetting the working capital needed to survive the early months. Running out of cash before reaching breakeven is one of the most common, and most preventable, causes of failure. 2. Not Following the Proven System Some fail by trying to improve the model t