Oregon Franchise Comparison Worksheet
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FAQ
I always recommend that people considering becoming a franchisee visit a number of the franchisor's locations in different areas to observe a variety of operators, if possible. Key things to look for include how well they run, how consistent the brand is, if there is good customer service and if the stores are busy.
How to Select a Franchise Know the total financial requirements. ... Do not invest in franchises based on fads. ... Check the integrity and competence of the management. ... Be wary of those who use pressure tactics. ... Check if the franchisor is affiliated with a reputable franchising organization.
These may include factors such as initial investment, ongoing fees, royalty rates, territory size, brand recognition, training and support, customer demand, growth potential, profitability, and exit options. You can use these criteria to create a checklist or a scorecard to evaluate each franchise opportunity.
What to consider when evaluating a franchise opportunity The market. Has a defined market been determined? ... Company history. ... Financial statements. ... Level of investment. ... Training and support. ... Territory. ... Royalties. ... Restrictions.
How to spot a strong franchise opportunity Low to nonexistent competition in the area. ... Thorough and strong data. ... There's no hard sell. ... The franchise has a steady growth or low churn rate. ... A franchise that will survive recessions. ... You are certain you'll love the work.
