Franchise ownership begins with introduction call with franchisors. Typically, the franchisor will present their brand’s positioning within the industry, explain the core part of the business and obviously show why their brand is better compared to all other franchisee’s in the world. It is critical, to ask questions but does not know what to ask and how to ask. Here is a simple list to help.
How did the franchise get started?
How long ago the owner started their own business before franchising it?
Who are the founders? Are they the current owners or in an executive team?
What is their ideal franchisee?
Who is their successful franchisee?
How much money do I need to invest to start the business?.
How long will it take for me to be cash flow positive?
What are the ongoing fees and how are they calculated?
How many units are currently in operation?
How many units are opened in past year?
What sets you apart from your competitors?
How do you resolve disagreements or disputes?
Do you offer protected territory? How big are they?
Do you offer national accounts?
What type of marketing support is provided?
How do you help to hire staff?
How do you help with re-training of employees?
How much do I need to invest in equipment?
Do you offer in-house financing?
What is typical, day in the life like for franchisee?
Rajiv Shah – Franchise Broker / Business Coach