Other Questions

Other Questions

86. How many years has the firm offering you a franchise been in operation?

87. What is a description of the franchise area offered you?

88. What is the total investment the franchisor requires from the franchisee?

89. How does the franchisor use the initial franchise fees?

90. What is the extent of the training the franchisor will provide for you?

91. What are your obligations for purchasing or leasing goods or services from the franchisor or other designated sources?

92. What are your obligations in relation to purchasing or leasing goods or services in accordance with the franchisor's specifications?

93. What are the terms of your agreement regarding termination, modification and renewal conditions of the franchise agreement?

94. Under what circumstances can you terminate the franchise agreement?

95. If you decide to cancel the franchise agreement, what will it cost you?

96. What are the background experience and achievement records of key personnel (their "track records")?

97. How successful is the franchise operation? (Use D&B reports or magazine articles to supplement information the franchisor gives you.)

98. What is the franchisor's experience in relation to past litigation or prior bankruptcies?

99. What is the quality of the financial statements the franchisor provides you?

100. Exactly what can the franchisor do for you that you cannot do for yourself?

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Source:by Erwin J. Keup (Entrepreneur Press) April 19, 2004