14 Jan 10 Questions To Ask Your Franchisor Before You Invest
When it comes to career-changing decision like whether or not to invest in a franchise, you need to have all the facts.
This article will explain the 10 questions you need to ask your potential franchisor before you take that leap and buy a franchise business.
1. How long have you been in franchising?
When it comes to the longevity of a franchise I’d like to point out that just because a franchise has been operating for 10 years doesn’t necessarily make it better than one that’s only been up and running for a year.
However, it can be important to know how long a franchise has been established so you can compare the length of time they’ve been running to the number of franchises they have established and any awards or accolades they may have accumulated over that time.
I would expect to see a franchise that has been established for 10 years or more to have around the same number of franchisees and some kind of recognition for their work.
When it comes to a newer franchise you can benefit from new systems, a fresh approach and a more passionate and motivated leader.
The thing to look out for in this case is how long the franchisor has been working in the industry they’re franchising in. You may find they have actually been in the business for 10 years or more and have extensive knowledge and experience on the subject before deciding to franchise their business.
2. What systems do you have for keeping franchisees in touch with you and each other?
This is an important question to ask because in the early stages of setting up a new franchise you may need to be in regular contact with your franchisor. So a reliable communication system is going to be key.
It could be that your franchisor sends you regular emails, or you have to report back to them at a specified day of the week. Either way, you need to know how you are going to stay in touch and what level of communication is expected of you.
3. Can I speak to your current franchisees?
Before signing up to a new franchise I would recommend you ask if you can speak to other franchisees.
Being able to call upon the support and advice of your fellow franchisees can make a huge difference to the success of your new business, as they will have faced many of the challenges and opportunities you will.
It is also very comforting to know that you are part of a bigger franchise network.
4. Will you train me and who pays for my training? Do you provide instruction and operation manuals?
Most franchises that specialise in a specific skill or service will provide all the training to get you up and running, but it’s worth checking first.
It’s really important you have a clear understanding of what you will actually get for your investment into a new franchise to avoid any nasty surprises further down the line.
With a Healthy Feet franchise, you will receive all the training required to be a foot health practitioner as part of the franchise fee.
5. Do you supply point of sale and promotional literature?
So you can budget effectively when you set up a new business you need to know what costs you can expect to incur each month.
It would be helpful to find out if your franchisor will supply you with the finished items, for example, printed flyers, price lists and business cards, or will you have to find a printer near you who you instruct yourself to print out the point of sale and promotional literature.
There’s no right or wrong way of doing this, it boils down to what your comfortable doing and the price.
In most cases, the franchisor will supply all printed documents as they can get preferred rates because of the volumes they are getting printed.
At healthy Feet, we supply you with everything you need to run your business efficiently.
6. Will you help me if I run into operational problems? What help do you provide?
Knowing that you have the full support of your franchisor when things aren’t going to plan is going to vital.
Here at Healthy Feet, we provide ongoing training and support throughout your franchise journey and are will be there to advise and consult on any issues you may find yourself up against.
7. Do I need to meet a certain standard to you would consider me for your franchise?
When you decide to take on a franchise business, you get the full support of the franchisor to help get established, but it’s up to you to make it work.
So some franchisors may take some time to learn about their potential franchisees and their background and previous experience, to find out if they will be a good fit.
At healthy Feet, it’s important to us that our team share our values and qualities so together we can run a successful business.
8. Will I receive any help with local advertising and promotion?
If this is the first business you’ve set up then you may need some help with promoting it, so ask your franchisor if that’s something they can support you with.
It’s highly likely that, like us, they have numerous tried and tested techniques to help bring in new business when you’re starting up.
9. How much does your franchise opportunity cost?
This is a pretty obvious one I know, but you need to understand very clearly what the franchise price includes and excludes.
For example, will you own the equipment or premises necessary to operate the business or are you leasing it?
If you are going to be applying for finance to cover the cost of the franchise you need to know how much you will actually need to get you up and running.
10. What can I expect to earn if I take on your franchise?
It is going to be really helpful to understand how much money you can realistically expect to earn if you take on a new franchise and whether you can expect to make a profit on top of your salary.
This helps you figure out how long it would take before you can start reinvesting in the business by employ additional staff and buying premises etc.
Now you can decide
When you have the answers to these questions it’s up to you to decide whether that franchise will be a good fit for your interests so the venture is both profitable and enjoyable.
If you have any questions about Healthy Feet Mobile Clinic and the franchise opportunities then please get in touch with us at firstname.lastname@example.org.