Even in uncertain times, entrepreneurs pursue their dreams of starting and running a successful business. Sometimes this dream takes the form of a franchise. But when you buy into a franchise, it’s important to consider all potential issues, including timing. Is this the right time for you, even though the future looks uncertain. You might consider the following points when making your decision.
Due Diligence
As with any business transaction, you will want to perform some due diligence. Research potential franchise deals and do your homework. However, consult with your attorney before signing any documents or even orally agreeing to any propositions.
If your business is currently closed or not fully operational, or you have been laid off from your job, you might have some extra free time. One way to use up that time is by assessing potential opportunities.
Deals to Buy Into a Franchise
The coronavirus crisis has also hit lenders. Banks could view a solid franchise opportunity as a solid investment. If so, it may be easier to get the money needed to buy into a franchise.
Likewise, franchisors may be putting a little extra effort into finding new franchisees, especially to replace sites lost to business restrictions or rioting.
Support System
Yes, you must abide by your franchisor’s rules. However, you may also benefit from the safety of being part of a large support system. Your franchisor may provide marketing support crucial to the success of your business and assistance with lenders. Other franchisors may offer much-needed support and comradery.
Even though you ‘own’ the business, you are not alone. During difficult times, this can be a real boon.
And, Of Course, Timing
Maybe you feel certain you have the financial backing to weather a new business venture’s early days. If so, the time may be ripe to find a good opportunity to buy into a franchise.
Check Out the Legal Consequences When You Buy into a Franchise
Your franchise agreement will govern you and your business for years to come. Asking your business lawyer to review the agreement before you sign can prevent unintended and unpleasant legal consequences.
Attorney Richard Sierra at the Florida Small Business Center assists clients like you with business and litigation matters. As always, Our Goal Is to Help You Succeed™. For an appointment, you may call us at 1-866-842-5202 or use the contact form on our website. We represent clients throughout the State of Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, West Palm Beach, Jupiter, Deerfield Beach, Stuart, Port St. Lucie, Orlando, Naples, Fort Myers, Sarasota, Tampa, and surrounding communities.