Business Guide

What should you ask a franchisor before signing?

Updated

Get clear written answers about costs, obligations, support and exit conditions before you commit.

Ask about the complete cost

What is included? What is excluded? Is VAT included? What recurring fees, supply minimums and site costs apply? When are payments due, and which are refundable?

Ask about daily operation

Who supplies the products? What are the lead times? What happens during a supply interruption? What staffing, storage, water, power and food-handling arrangements are needed?

Ask about support

Who reviews the site? Who is trained? What happens at opening? Who handles operational questions afterward? Ask for scope and responsibilities in writing.

Ask about the agreement

What are the term, renewal, transfer and termination conditions? Are there territory rules? What happens if the site becomes unavailable? Have qualified advisers review terms you do not understand.

Planning guide. Confirm current concept requirements and quotations before committing.