You have decided to purchase a franchise and have set up a m

You have decided to purchase a franchise and have set up a meeting with thefranchisor. Discuss the kinds of questions you would ask them and, also, what kinds of questions you anticipate the franchisor would ask.

Solution

During my meeting with the franchisor after deciding to purchase franchisee, I would like to ask the below questions.

1.What is the average profit I can make from the business? I would like to know the probability of success after starting the franchisee and hence I would ask this question expecting an answer based on their other franchisees.

2. What are the values and cultures of the organization that needs to be followed by the franchisee? Understanding the values and culture would help to align the activities accordingly and decide to what extend both of our values would match each other.

3. What are the financial assistances provided by the franchisor? Some of the franchisors provide financial assistance by providing help to get financing and also giving discounts on franchisee fee.

4. Would the franchisor help me to find a better place to start the franchisee? Some of the franchisors help to find a suitable site and helps in negotiating the lease.

5. What is the training programs provided to the franchisees? Training programs are very important for the success of the franchisee and it will help to shape them according to the expectations of the franchisor.

6. What is the exit strategy? The exit strategy should be known to plan the activities after the termination of the franchisee.

The franchisor may ask the below questions with me.

1.How long the company is in market? This would help the franchisor to understand the experience and determine the reliability of the company.

2. What is the financial position of the company? This will help the franchisor to understand the franchisee posses the financial position to set up and work as per their expectations.

3. What kind of assistance you are expecting from us to start the franchisee? The question would help them to understand the requirements of the franchisee.

4. Do you respect our culture and values? The franchisee should respect the values of the franchisor and provide services accordingly.