Questions a prospective franchisee should ask a franchisor

Ethical franchisors will provide clear and detailed information, written in plain English, to prospective franchisees so, in theory, there should be little need for them to ask many questions. That having been said, individual prospective franchisees each have different circumstances.Any concerns they have need to be addressed and explained at a very early stage in the negotiation.

For prospective franchisees meeting franchisors it is as much their opportunity to ask questions. No one should feel awkward or embarrassed to ask about anything that is not immediately obvious. This is especially important because, from the outset, there must be clarity and understanding of the terms and conditions of the franchise, the obligations and responsibilities, in fairness to both parties.

What Franchise - Spring issue 2014