Today's news for the franchise & small biz owner

Log In / Register | May 24, 2013

Buying: Will the Brand Bring More Consumer Buys than Franchise Fees?

Golf Etc logo from a Midwestern store, photo by Blue MauMau
Sign of a once opened Golf Etc, ranked #1 worst by loan defaults

Business adviser Bob Papes has an interesting insight. His emphasis is less on buying a franchise because of training and support by the franchisor. He sees problems in buying a business in a box. After all, it could also be a ready-made bankruptcy in a box.

Be Wary of Franchise Churning

Don't be a victim of churning, a type of franchise fraud. Consult a franchise attorney before you invest in a franchise. The FBI website explains franchise churning:

Be Wary of the Passionate Franchise Founder

When visiting a franchisor’s headquarters franchise candidates look forward to the opportunity to meet with the person who founded the franchise.

Renewal Provisions: What A Prospective Franchisee Should Do

A prospective franchisee needs to retain an experienced franchise attorney to review all of the terms of the franchise agreement including the renewal provisions.  If the typical renewal provision is in the franchisor's standard form of franchise agreement, try to renegotiate this provision to make it fair.

Five Week Franchise Research Plan

So here we have it; The Five Week Franchise Research Plan, the ‘KISS’ principle to researching a franchise investment - Keep It ... Simple Sucker.