City Town Info Education Channel:
The stiff competition of today’s job market is encouraging more people to test out their entrepreneurial skills by opening up small businesses. Franchises are particularly attractive options for many aspiring entrepreneurs because of the instant brand recognition the company creates and the proven business model it offers.
However, officials at the Washington State Department of Financial Institutions advise prospective franchise owners to thoroughly research contractual agreements before investing in new business ventures, particularly franchises, The Seattle Post-Intelligencer reported.
“The first step before investing your money in any security or business venture is to do your homework,” said Bill Beatty, the department’s director of securities. “For franchise investors, this means, at a minimum, reviewing the franchise disclosure document and getting in touch with current and former franchisees. You should be very skeptical if earnings for existing franchises are not disclosed and if experienced franchisees are unhappy or unreachable.” Read full post here.