If you are considering a franchise investment, you need to know exactly what a franchise should provide. Take a look at these things that any good franchise will provide you:
Franchisors should provide full disclosure about their business. This means that they should provide you with any and all information related to their relationships with vendors, past and current lawsuits, financial disclosure, all open and closed franchises, any ownership interests, as well as any fees they may charge you.
The franchise’s brand should be recognizable. When you hear “McDonald’s” you automatically know that it is a fast-food chain restaurant. While not all franchises will have that degree of notoriety, their name should have some standing within its industry.
One of the benefits of purchasing a franchise as opposed to starting your own business is that you are entering into an established system. The system should give you a distinct advantage over anyone simply starting out on their own.
Corporate and all Unit Franchisees should work as one to strengthen and enhance the franchise as a whole. Everyone should be working in a single network together.
This may seem obvious, but far too many franchises lack this key component. You should be able to speak with the master franchisors whenever you need to. They should be easy to get a hold of and willing to talk and/or meet with you to discuss anything related to your franchise.
Any good franchise can present you with a history of their success. If the franchise is too new to have any history, you might want to consider looking into a different investment opportunity.
The franchisor should be able to provide you with valuable insight into their industry. They should work to help you understand the business you will be running by giving you the knowledge you need to succeed and teaching you their tried and proven tactics.
Support does not stop after the sale. Once you invest in a franchise, the franchisor should be available to help you with any issues that arise. Ideally, there would be a local office to make that support that much easier to reach. Regardless of their location, they should be able to provide actual solutions to any problems related to your franchise.
When you invest in a franchise, you are not just buying a business, you are buying their expertise. A good franchise should have extensive experience in their industry as well as knowledge related to the field. They should also be up to date with current events and relevant technology within the industry.