Franchise Tips- Receive Franchise Book Free-VTS Named to INC 5000

I've had the good fortune to spend over 28 years in the franchise industry. During that time I've launched 4 franchise programs, written a book on franchising and spoken on the subject of franchising in the US and overseas. Based upon this resume I'm often referred to as a franchise expert. However, deep in the recesses of my psyche I sometimes find the reference odd. I guess it's because I've never considered franchising that complicated.

Since my responsibilities at VTS include the development of our new franchise program, I spend a good deal of time speaking with individuals looking to purchase a franchise.
When evaluating a franchise opportunity there are certain factors that must be considered regardless of the franchise opportunity.

Key Factors Include:

Be sure the investment in the franchise relates to the earnings potential. There are many franchises that require a 300K investment, however, the earnings may be only 50K per year. In other words you're buying a job.

Choose a franchise you would like to operate. When you find the right one you'll know it.

Make sure the franchisor has the financial resources to provide the services and support you're entitled to. Evaluate the strength of the franchisor in terms of capital and talent.

Validate the franchise opportunity by speaking with as many franchisees as possible. Have they received what the franchisor promised?

Does the industry offer ample potential for sales and earnings? Be sure that the market potential is capable of providing you the revenue opportunities.

Be sure your territory is protected. There is a big difference between exclusive and protected. Exclusivity refers to other franchise or company locations but may not prevent them from selling in your territory.

Seek the advice of trusted advisors.

As you can see, it doesn't take an expert to evaluate a franchise opportunity, just a dose of good old common sense.