Franchise Article

Four Steps to Qualifying for and Evaluating a Franchise

1. Exploratory Meeting
Initial meeting to get to know one another
• Overview of how the franchise license process works
• Review key points of the franchise
• Complete profile questionnaire
• Review the power of franchising
• Understanding the industry
• Franchise support and systems
• Receive UFOC, license agreement and candidate evaluation
After Step 1:
 Review UFOC, Agreement & Other Materials
 Formulate Questions
 Fill Out Candidate Evaluation
2. System Verification
Understand and confirm the franchise system and agreement
• Answer questions about license agreement of UFOC
• Review candidate evaluation form
• Review validation process
• Introduce support team (Generally by Conference Call)
After Step 2:
 Validations with Franchisees
 Formulate Additional Questions
 Complete Short Business Plan
 Review Documents with Professional Advisors (If Necessary)
 Reserve Time for Location Visits
3. Verification of Support
Understand the franchise support system
• Review validations
• Review additional questions
• Visit stores and/or office
• Visit with support team (Discovery Day)
• Review terms of agreement
• Review business plan
After Step 3:
 Formulate Questions
 Finalize Review of Documents with Professional Advisors (If Necessary)
 Review Business Plan, Agreement Terms
 Review Potential Start Dates & Time Frames
 Review Final Questions with License Advisor
4. Contract Signing
Receive final approval for franchise license
• Review any outstanding questions
• Upon approval of all parties, execute license agreement
After Step 4:
 Begin Working with Market/Location Planner
 Work Through Financing Arrangements
 Set Date for Training