Tag Archives: Franchise Due Diligence

Lesson # 5 From Hard Luck Franchisees: Restrictions on the Products and Services Sold

 The Classic Battle A group of franchisees file a lawsuit contending the franchisor forces them to buy products and/or services at inflated prices while setting retail prices so low the franchisees cannot profit. The lawsuit also alleges that the franchisor omits or misrepresents key facts about its business operations when selling the franchise. The franchisor, of … Continue Reading

Working in a Franchise Before Buying Doesn’t Make You a Chicken!

Nothing like a good article on franchising to bring me out of a blogging hiatus that I anticipated would last at least another week.  But thanks to the Small Business Trends site and franchise consultant Joel Libava, my rest is over. The Franchise King posted on a Central Ohio restaurant franchise called Roosters that seeks experienced franchise operators rather than … Continue Reading

Franchise Due Diligence: Ask what they don’t do well

One of my franchisee clients offered a very simple question that every prospective franchisee should ask of other franchisees when conducting due diligence: What doesn’t the franchisor do well? He says this evoked the best responses from franchisees when he conducted his due diligence.  If you are considering a franchise be sure to talk to … Continue Reading

Franchises: Four Things to Make You Go ‘Hmm

If you are looking at a franchise opportunity perhaps you should beware if your prospective franchisor says the following: You don’t need a lawyer to review the agreement.  I would prefer you don’t talk with the other franchisees.  You should only talk with me. We won’t negotiate any terms. Trust us, we can’t (and won’t) change … Continue Reading

Looking for a Franchise? Be Sure to “Pick” the Right Resources

As regular readers of this blog know, I am engaged in a never ending search for blogs that present franchise opportunities in a fair and objective manner.  All too often franchise related sites are merely promotional pieces.  FranchisePick is a site worth checking out.  Yes, there are some promotional pieces on the site.  But franchise marketing veteran, Sean … Continue Reading
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