wichfranchise.com:
Franchising can be a great new challenge for someone over 50 looking for new horizons. Here are some “do’s” and “don’t’s”:
Do’s
*When deciding which Franchise to choose, do your homework thoroughly before committing to a particular Franchise.
* Always talk to other Franchisees of a particular Franchisor. The other Franchisees will be able to tell you how effective and helpful the Franchisor is and how the Franchise is doing.
* Always get a selection of the contact details of Franchisees from the Franchisor and make sure you choose which Franchisees to talk to.
* Ask the Franchisor for details of Franchisees whose businesses have not succeeded.
* Carry out an Experian or Equifax search on the Franchisor. Get your bank to take up a bank reference. Ask the Franchisor for its last accounts.
* Use the services of a solicitor affiliated to the BFA to advise you on the terms of the Franchise Agreement. Many of these solicitors have long experience in Franchising and understand Franchising in practice (which other solicitors generally do not).
* Write down any promises made by the Franchisor during the pre-contractual stages and have those promises annexed to the Franchise Agreement with contractual force.
* Always get an experienced accountant to check out and advise on any projections produced by the Franchisor and to prepare your own business plan based on your own proposed Franchise.Don’t’s
* Do not let your heart rule your head. Many Franchisees make their decision on subjective rather than objective grounds.
* Do not rush your decision. A responsible Franchisor should not subject you to hard-sell tactics.
* Always discuss with your family. You will need their support.
* Do not expect to make a fortune. Where there are projections given by the Franchisor, ask for actual results achieved by Franchisees, or at least an average of Franchisee earnings.
* Do not expect to make a living without working hard for it. Quite apart from long hours involved in the business, most Franchises will involve you in preparing a good deal of additional paperwork after a full day’s work in the Franchise.