It is very important to check for yourself whether the franchise is a good deal or not.

  • Don’t be rushed into signing a franchise agreement and make sure you understand what you are agreeing to.
  • Read your disclosure document and take the time to understand the information in it.
  • Speak to current and former franchisees. They can help you understand the strengths and the weaknesses of a franchise and what it is like in real life. The disclosure document should include contact details for current and former franchisees.
  • Don’t rely on what a franchise salesperson tells you. Ensure all claims are written down or preferably have them included in the franchise agreement.
  • Get independent legal, accounting and business advice about the franchise. One type of advice may not be enough to properly inform you.
  • Imagine yourself as a franchisee. There will be rules set by your franchisor that can tell you what you can and can’t do. Think about whether franchising suits you.