5 Things You Need to Know Before Buying a Dog Franchise
Most people are nervous when buying a franchise, especially if this is something they have never done before. This can be a difficult decision and one you should not approach lightly. If you are still in the early stages of the franchise buying process then there are a few things you will want to keep in mind so you can ensure that buying a dog franchise is in your best interest.
No Franchise Model is Perfect
Sure franchising is as close to perfect as a business model can get. You have a company that has been successful on their own give you their blueprints and use their name so you can be successful with your own dog franchise. It doesn’t get much better than that. However, you need to remember that no business is ever perfect. Some franchise plans will not be perfect because of your market, because of the way you implement it or maybe even because of trend changes. This does not mean the franchise itself is bad. You do want to watch out for issues with the franchise model before buying though.
Even Franchises Can be Risky
The reason franchisors are not allowed to give you even an indication of what you will make as a franchisee is because there is no guarantee with franchising. While you may have a blueprint for success, there are times it can fail. This may be less risky than opening up an independent store, but it does still carry some risk. This is why you need to have an exit strategy so you will be prepared if things do not turn out right with your dog franchise purchase.
People Get Paid When You Buy a Franchise
Now obviously the dog franchise will receive their franchise fee, but this is not the only way that people are making money when you buy a franchise. For one, you should hire a franchise attorney to go over the FDD. You will also want to hire a CPA to look at the financials set forth in the FDD and your financials to ensure this will be a good investment for you. Then there are other people who may get paid in this process, such as a person that referred you to the franchise. While this may not impact you a great deal, it is still something you should know before you pull the trigger on your franchise purchase.
This is Not an Overnight Process
Some people think they can just look through some websites and then choose their franchise. Simply place an order like on Amazon and have their business in a couple days or weeks. This is not the case. You will need to take the time to talk with the dog franchise. You will go through their franchise buying process which will require you to provide information, fill out forms, schedule meetings and more. This can take weeks or months. In addition to this, the process of opening the franchise once you have bought it can take months as well.
