Important Questions to Ask Before Buying a Franchise
Buying a franchise is something that can help you achieve both your business and personal goals. A franchise provides you with a proven business model and training that’s organized and provided by the franchisor. It’s also an easier way to attract financing as lending institutions consider those buying franchises as less risky than people starting new businesses from scratch.
When you’ve decided that you’d like to buy a franchise, you certainly want to cover all your bases to ensure you’ve made the right choice. Here are some very important questions to ask when you sit down for an interview with a franchiser.
What Makes Your Franchisees Successful and What Is It About My Experience and Background That Makes You Think I’m a Good Fit for Your Company?
This question is important as it will let you know right away if the franchisor has looked into your background and experience to make sure you’re the right type of person to buy a franchise from them. The most successful franchisees are selective, so listen carefully to the answer you get to make sure they’re not over-generalizing and are indeed addressing topics specific to you.
How Much Do I Have to Invest Before Buying a Franchise?
Considering that the initial investment required to open a franchise varies from one franchise opportunity to the next, you need to ask how much you’ll have to invest before you can open your doors for business. Find out about start-up costs like real estate, equipment, licenses, etc and get the details with money amounts.
What Kind of Training and Support Do You Offer?
The best franchises will offer very good training and support to ensure you succeed. Ask questions about licensing assistance (if applicable) and about any training they provide to keep you in compliance with state or federal regulations. Be sure to ask if they provide you with a professional website and marketing support.
How Much Liquid Capital Will I Need to Maintain to Cover Costs Until I Start Profiting?
In addition to the initial start-up costs, you will need enough money for the first few months until your business breaks even. This is why you should ask how long it generally takes for the company’s franchisees to start profiting so you can be prepared financially.
What Can I Expect My Annual Income to Be?
Whether you’re interested in buying a home care franchise or a restaurant franchise, you need to know how much money you can make. While a franchise cannot tell you for sure that you’ll succeed financially, they should be able to tell you what a typical franchisee earns so you’ll know what your income potential is.
What Will a Typical Day Be for Me If I Buy a Franchise from You?
Of course, you want a good picture of what your daily work life will be like, so ask. Find out what daily tasks you must perform and what the biggest challenges are that you will face. When you get a good understanding of how your workday will go, you’ll have a better idea if the franchising opportunity is the right one for you.
When you have the answers to the questions above, you’ll leave the interview armed with the info you need to help you decide if you want to buy a franchise from them. If you’re a caring and compassionate person who is interested in buying a home care franchise, A Better Solution in Home Care (ABSIHC) may be the ideal opportunity for you.
When you join the ABSIHC family, we’ll provide you with the tools and support you need to help you succeed as you make a lasting impression on the lives of others through buying a franchise. You can learn more about our franchise opportunity here. We look forward to hearing from you soon!