Investing in a franchise is likely one of the most important career decisions you will ever make, and if you have been dreaming about it for some time, you are likely extremely excited to take the next step! However, a franchise is also a major financial investment, so before you move forward, it is vital to make sure you cover all of your bases.
While there is no way to be completely certain your new business venture will be a success, by doing your due diligence in researching the franchise brand and being honest with yourself, you can be certain that you are making the most educated decision for your scenario. Read on to learn the top things you should always do before investing in a franchise.
What to Do Before You Invest in a Franchise
Read the Franchise Disclosure Document carefully. When pursuing a franchise, you are going to get a lot of paperwork throughout the process. However, there are few pieces of paperwork you will receive that are more vital to your success than the Franchise Disclosure Document (FDD). The FDD is a manual for everything you need to know about the franchise system you are investing in, so reading and re-reading it carefully are key to making sure you know what sort of business you are joining.
Do some work ethic soul-searching. There is a reason why not everyone owns a franchise: It is rewarding work, but it is hard work. Franchise owners do not have the option to coast or underperform as is common with many corporate positions, and it is important to be honest with yourself and determine whether or not you believe yourself to be up to the task.
Contact other franchisees. In Item 20 of the Franchise Disclosure Document, you will receive the locations and contact information for the current franchisees within the system. This is a great way to get to know who you will be working with should you move forward with the investment, and also give you great insight into what a day in the life of a franchise owner is really like. Reach out to these franchisees and see if they would be willing to share their experiences.
Are you ready to learn more about franchise opportunities with us? We would love to tell you all about it! Contact us today to learn more about our brand.