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The purchase of a franchise represents a substantial investment that will have longstanding implications for both you and your family. Prior to selecting a franchise and deciding to move forward‚ you must engage in an active “due diligence” evaluation of the franchise system and determine if its is right for you. Existing franchisees are excellent sources of information when evaluating a potential franchise investment.
Three “initial” questions that you should be asking existing franchisees‚ include:
In addition to these initial questions you should have many other focuses based on the particular franchise that you are considering. I suggest that you write down a list of your expectations and then – prior to signing any franchise agreement – seek out and obtain as much information as possible to determine whether or not the franchise that you are considering is right for you. Your decision should also be based on a candid discussion with your franchise lawyer and a thorough evaluation of the franchisor’s disclosure documents.
Category: Buy a Franchise
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