You have decided to take charge of your life and livelihood by going into business for yourself. Great! You have determined that a franchise business suits your needs. The idea of a proven system, training and ongoing support sounds like a win-win combination. In franchising, we say you are in business for yourself but not by yourself. You have been working with an industry professional to help identify your goals needs and expectations, essentially what you want your life to look like. Even better! Your coach has introduced you to the franchise options he or she feels have the potential to be the vehicle to get you where you want to go, but how do you find out for sure?
There are no guarantees any business venture will succeed. However, there are things you can do to give yourself an edge. As you explore the options presented, there are several things to keep in mind and to ask. Begin with knowing the people you are dealing with and the requirements for franchisees. In the franchise industry there is a document known as the Uniform Franchise Offering Circular or UFOC. It is a FTC requirement that a prospective franchisee be given the UFOC a minimum of 10 days prior to signing an official franchise agreement. This document will give you the history of the officers of the franchise you are considering.
Additionally, the UFOC states in plain English your obligations as a franchisee and the responsibilities of the franchisor. The UFOC will also provide a table that tells you the approximate costs of starting the business. Also included are the names and contact information of all the franchisees currently in the system as of the date of printing. This is a valuable resource. Typically, the franchisor will speak to you and explain the merits of their business. The key then would be to speak to current franchisees and determine if the franchisor is accurate. Common questions are: How much did you have to invest? How good was the training? How is the ongoing support? How many hours do you work?
Be sure to ask questions that help you understand daily life in your chosen business. As you reflect on this information, the final question is simple: Does that picture match up with the vision you have for your life? There are many more pieces to the franchise puzzle and industry professionals can provide education, guidance and piece of mind as you explore your options. A franchise coach can help you wade through all the possibilities available and assist you in understanding terminology and various other issues particular to franchising. A franchise attorney can help you clearly understand the legal aspects of the agreement. In all, your team can work along side you to determine the vehicle which is best suited to your unique criteria. With a little research and expert guidance you can choose the business that will enable you to create the life you have envisioned.
Peter Diaz is a retired Marine Corps Master Sergeant with a degree in workforce education and development. He is a coach with the Entrepreneur's Source, an international network of self-employment coaches who work with individuals and companies looking for successful opportunities for business ownership and expansion. He can be contacted at [email protected]
There are no guarantees any business venture will succeed. However, there are things you can do to give yourself an edge. As you explore the options presented, there are several things to keep in mind and to ask. Begin with knowing the people you are dealing with and the requirements for franchisees. In the franchise industry there is a document known as the Uniform Franchise Offering Circular or UFOC. It is a FTC requirement that a prospective franchisee be given the UFOC a minimum of 10 days prior to signing an official franchise agreement. This document will give you the history of the officers of the franchise you are considering.
Additionally, the UFOC states in plain English your obligations as a franchisee and the responsibilities of the franchisor. The UFOC will also provide a table that tells you the approximate costs of starting the business. Also included are the names and contact information of all the franchisees currently in the system as of the date of printing. This is a valuable resource. Typically, the franchisor will speak to you and explain the merits of their business. The key then would be to speak to current franchisees and determine if the franchisor is accurate. Common questions are: How much did you have to invest? How good was the training? How is the ongoing support? How many hours do you work?
Be sure to ask questions that help you understand daily life in your chosen business. As you reflect on this information, the final question is simple: Does that picture match up with the vision you have for your life? There are many more pieces to the franchise puzzle and industry professionals can provide education, guidance and piece of mind as you explore your options. A franchise coach can help you wade through all the possibilities available and assist you in understanding terminology and various other issues particular to franchising. A franchise attorney can help you clearly understand the legal aspects of the agreement. In all, your team can work along side you to determine the vehicle which is best suited to your unique criteria. With a little research and expert guidance you can choose the business that will enable you to create the life you have envisioned.
Peter Diaz is a retired Marine Corps Master Sergeant with a degree in workforce education and development. He is a coach with the Entrepreneur's Source, an international network of self-employment coaches who work with individuals and companies looking for successful opportunities for business ownership and expansion. He can be contacted at [email protected]