Franchise Genius Checklist - Franchisor Research

Franchisor Research Question Checklist

It is important to thoroughly understand all legal documents prior to signing them. This is a list of questions commonly asked by franchisees during the selection process, but should not substitute for competent legal counsel. Each opportunity is unique and not all of the items may be applicable. Likewise, there will be other items and issues that you will want to address for your specific circumstances.

Top 20

Request the Uniform Franchise Offering Circular (UFOC) or other legal documents
Perform background checks on key management
Request credit check of the company
Research existing and past lawsuits involving company and key management
Talk with current and former franchisees (see questionnaires)
Research what year the company was founded
Research the number of units opened (total)
Research number of units closed (total, last year, last 2 years)
Research the experience level of the executive team
Confirm projections in item 7 of UFOC with existing franchisees (eg: professional fees, build out, working capital, advertising/marketing introduction)
Research where initial training is held, how long it lasts, how many people must attend, and additional costs, if any
Inquire about corporate support available for pre-opening, grand opening, and initial weeks of business
Inquire about level of guaranteed field support
Inquire to see if the franchisor aids in location selection and whether they have the final authority to approve/reject a site
Inquire about whether or not the company offers financing options and what is the typical amount financed
Research average unit sales in first two years, systemwide, and how AUV changed this year compared to last
Inquire about the number of full time staff dedicated to field support and the number of units each
Inquire about how often staff visits the location, their purpose (audit, store review, marketing assistance, compliance, training, P&L review)
Discuss projected number of openings in the next 12 and 24 months and the markets into which these units will open

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Brilliant
Ideas

Mathnasium Learning Centers
$55,000 - $74,500

Mathnasium is a learning center where students go year-round to boost their math skills. The program is for students in pre-K through 12th grade. Mathnasium's goal is to significantly increase the child’s math skills, understanding of math concepts, and overall school performance, while building confidence and forging a positive attitude toward the subject.

Kidville
$60,000

Named Best of by New York Magazine and given a five star extraordinary customer rating in The Lila Guide: New Parent Survival Guide, Kidville operates large, upscale facilities, catering to young children and their families. In addition to offering a wide range of developmental classes for newborns through six year olds. Kidville also features an indoor playground, a retail boutique, the Kidville Salon and birthday parties for children up to age nine. There are currently two investment levels. 1. Our Stand Alone Annex Model (3,350 square feet) investment level is $198,150 -$262,900. 2. Our Hub Model (8,000+ square feet) investment level is $615,560 - $777,400. You are able to choose the model that best suits your community and investment level.

The Tan Company
$187,750 - $251,000

The Tan Company is a tanning salon. The Tan Company offers 5 Star tanning facilities, and world-class skin care products in a clean tanning environment.

The Maids Home Services
$100,000 - $150,000

Distinguished as the number one residential cleaning franchise since 2007 and the Fastest Growing residential cleaning franchise five years running by Entrepreneur magazine, the Maids Home Services is the quality leader in the industry. The Maids was founded in 1979 and began franchising in 1980, so franchise partners benefit from a time-tested cleaning system and business model based on leading-edge technology. The Maids provides the most comprehensive package of training, support, and territory in the industry. We provide extensive training, including seven weeks of pre-training and 10 days of classroom and field training. We are in touch and involved with the new franchisee a minimum of 195 days within the first year. Our franchise partners service over 1000 territories in the United States and Canada. We still have many great markets available. With The Maids, you can build a great business and achieve the lifestyle you desire, all with nights, weekends and holidays off. T

Firestorm Franchising
$50,000 - $115,000

Firestorm provides crisis management, risk mitigation, & business continuity & pandemic plans. Our PREDICT. PLAN. PERFORM. Process creates a strategic advantage for clients to outperform competition.

Yo Naturals!
$50,000

YoNaturals offers a complete, turn key solution for any and all premiere locations wanting to benefit from the Healthy Vending concept. YoNaturals is leading the fight against junk food in Vending machines.

Acti-Kare
$25,000

Acti-Kare helps seniors remain in the comfort of their own homes, and as a franchise owner, you will be able to help families in your own community help their loved ones live happier, more active lives.

Massageluxe
$43,000 - $128,500

If you have the drive and determination, MassageLuxe has the experience and know-how to ensure you succeed in your own high quality massage business.