So you’ve decided to buy a franchise, that’s great news. You’re probably on information overload right now. Finding the right franchise to buy can be extremely stressful but here at Franchise Gator, we tried to make it as easy as possible. Below you’ll find three tips we suggest you keep in mind when buying a franchise.
- Get to know yourself. There are thousands of different franchise opportunities out there, but finding the right one for you is a lot easier when you understand what you want. You know you want a business but what industry excites you? Keep in mind that many franchisors do not require you to have experience in their industry (some even prefer you don’t!). What are your strengths and weaknesses? If you have a shorter attention span, a home-based franchise may not be your thing. Are you looking to work with products or with services? Get to know yourself: find out exactly what you want!
- Research and Communicate. It’s great when you have a specific franchise opportunity you’re looking into but keep an open mind to other concepts too. Researching is extremely important, never go into something unprepared, right? Sit down and read through franchising articles, read a few books, talk with franchisees in your area, get a sense of what it’s like to be a franchisee. Research also helps you narrow down what franchises are within your budget and state.
- Be Prepared. I can’t stress this enough: Be prepared! Signing a franchise agreement can be stressful, don’t do it alone. Have your attorney and accountant look over the FDD (Franchise Disclosure Document) and any other statements sent to you. The accountant will tell you if you can afford the franchise and if it’s a solid investment for you and your family. Likewise, your attorney will be able to tell you exactly what you’re signing and may even help you negotiate terms of the contract.