Before you purchase a franchise it is important to understand the general advantages and disadvantages of this type of business model.
Advantages to the Franchisee
When a franchise is purchased, the Franchisee has an opportunity to own a business with an established business concept and hopefully, a successful track record rather than start from scratch. Typically, the Franchisor has been involved in the franchise for an extended period of time and has a larger business organizational structure already in place. This allows the Franchisee to have access to accumulated expertise, initial training, ongoing support and practical knowledge in managing and operating the business.
A franchise allows the Franchisee to have the benefit of operating under a recognized trade name or trademark which can enhance marketing strategy and hopefully increase results. A franchise with an established product or service may already have widespread brand-name recognition and reputation which can take years to build on your own.
Furthermore, the larger business structure may allow for more cost effective group purchasing of products and services as well as proven business systems that are already in place.
Hire an Attorney to Help you Evaluate the Franchise
Remember that there is no guarantee that a business will be successful. However, if you are interested in purchasing a franchise, it is really important to do your due diligence by deeply digging into the details of the franchise business. We are skilled in helping you to evaluate a business purchase and protect your interests. Our experience can help to educate you about what to look for and potential problems. Contact us at (925) 463-9000 or send an email.
Lisa Wills of the Law Offices of Lisa D. Wills is an experienced business law attorney in Pleasanton, California helping educate prospective business owners to make good decisions regarding business purchases. If you want solid legal assistance regarding your business purchase, contact Lisa Wills, Law Offices of Lisa D. Wills at (925) 463-9000 or send an email.