Updated: Oct 20, 2021
What is a franchise?
In a franchise, one business ( the franchisee) pays another (the franchisor) to use the franchisor’s business model and trademarks. In addition to their business model and trademarks, franchisees typically receive support from the franchisor in training, advertising, and the supply chain. Although they can also receive support in other areas as well.
Franchises are excellent vehicles towards entrepreneurship. As starting a business from scratch poses uncertainty and challenges in building brand awareness and staffing among others, franchising provides an already proven model as well as supply chain support. Therefore it is an excellent option for those new business owners, as well as seasoned veterans.
We’re assuming that you have already weighed the pros and cons of starting a franchise and that you have narrowed down your choices. You have already determined what kind of franchise you would like to start, and maybe even a few specific franchisors.
Before you sign on the dotted line, be sure to pay attention to the following. Along with your due diligence, INFI’s franchise checklist should put you on the right course to start your franchise business.
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What are the Franchise requirements?
Franchisors will most definitely have a list of requirements in order to be a franchisee. For example, Chick-Fil-A is widely known to have some of the lowest franchise fees around - at only $10k. Yet, even with such a low start-up cost, Chick-Fil-A only