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
Franchise Opportunity
PortraitEFX
$27,599 - $32,599
PortraitEFX is a location based photography franchise that specializes in providing services to schools, daycares, sports leagues, events, churches and other organizations. Franchisees may also provide other services such as senior photos, weddings and family portraiture.
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Franchise Opportunity
myway Mobile Storage
$250,000 - $2,000,000
myway Mobile Storage offers a convenient, secure and affordable alternative to traditional self-storage facilities. Our on-demand portable storage containers are delivered to you. Unlike a rental truck that typically has to be packed and unpacked in the same day, your portable storage container can be filled at your own pace. When you’re ready, we’ll pick up your container and store it in our climate-controlled secure storage facility, or deliver it to your new location.
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Franchise Opportunity
Minuteman Press International
$100,000 - $150,000
Minutemen Press offers printing and print related products. Products and services include reports, copies, booklets, brochures, business cards, flyers, cards, invitations, binding, cutting, designing, embossing, folding, and more.
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Franchise Opportunity
Sign Biz, Inc.
$75,000 - $185,000
A full-service, business-to-business visual communications business can be yours! Your business will be part of the world's largest chain of sign companies without royalties! Sign Biz®, Inc. has two decades of unmatched success in building and supporting it's entrepreneurs in 182 locations nationwide and around the globe. Innovators since 1989, we include the nation's first "video sign" program for small businesses with LobbyPOPtm. One of every four Sign Biz shops grosses more than $500,000 per year! SBA financing available!
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Franchise Opportunity
Touching Hearts at Home
$33,950 - $50,000
Touching Hearts at Home brings help and companionship to seniors and persons with disabilities in their homes. We strive to help individuals live independently for as long as possible, while bringing peace of mind to their families. We do that by providing companionship, care-giving and homemaking services.
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Franchise Opportunity
V2K Window Decor & More
$50,120 - $82,300
V2K Window Decor and More franchisees help consumers design window treatments with our exclusive 3D software. We carry the top brand names and our own private label.
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Franchise Opportunity
Monkey Joe's
$300,000 - $400,000
Monkey Joe's is an indoor playground that is open for walk-ins and hosts birthday parties. Monkey Joe's has over 12,000 square feet of wall-to-wall fun divided into age-appropriate areas that are clean, well lit, and have sufficient supervision for each age group. Parent Areas have TVs with sports and news, comfortable seating for conversation, and free internet access.
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Franchise Opportunity
Bits, Bytes & Bots
$15,000 - $37,000
Bits, Bytes, and Bots guides children, ages 6-14, as they embark on journeys in robotics, game creation, and movie making. Bits, Bytes, and Bots offers small classes, afterschool programming, home school classes, summer camps, birthday parties, and workshops.
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