Franchising is one the greatest brand building tools every created. Each franchise is set-up differently, so each franchise opportunity is unique. Some are set-up to be no better than Ponzi-like Schemes, others are our favorite and trusted brands and build wealth for many stakeholders.
In franchising, the infamous egg comes before the chicken. The successful evolution of the brand depends on a very strong value proposition that enables the creation of many chickens many of them independently owned and operated.
Identifying the eggs or the future successful chickens is a challenge, there isn’t crystal ball but there are magnifying glasses to determine the winners from the losers.
Franchise Perfection receives no revenue from franchisors. What we do is study the required FDD and website and provide a Franchise Perfection Review of the franchise opportunity you are considering.
Each Franchise Perfection Review contains a review of the Franchise Disclosure Documents (FDD). Franchise Perfection are not attorneys though we use legal advice from time to time. We do not even read the Franchise Agreement we strongly urge you to get a legal review from a competent franchise attorney where the typically cost range between $1,000 – $3000.
Before you engage an attorney and spend $1000’s, invest in a Franchise Perfection Review. Franchise Perfection Reviews present you the good, the bad, and the underbelly potential of your future investment. The decision to invest or not is 100% up to you.
Many different types of businesses operate utilizing the franchise business model. Growing a business using the franchise business model has proven to be a very effective way of brand and wealth building. Mostly because it creates opportunities for many people (franchise owners) to invest and develop distribution points for the brand. All these distribution points combined can create significant brand value and brand equity.
Many prospective franchise owners look to franchising for safety and equity building. The reality is only some franchise business models deliver safety and equity building. Many franchise systems deliver exactly the opposite.
The franchise business model is typically designed and constructed by the franchisor, and the relationship governed by the franchise agreement between the franchisor and the franchisee. Although each franchise system is unique and comes in endless varieties, most are built on a general concept that the franchisor is in command of the brand. The franchisee is acquiring a lease to operate a business utilizing that name for a certain period of time, therefore the franchisee has no equity and is merely a lessee.
Investing in a franchise business model is not an assurance of success. Each franchise system is designed and constructed differently. Some systems are designed so that franchisor reaps most of the financial benefits and control of the brand. Others are mutually advantageous for the franchisor, and the franchisee, some other franchisors that use the franchise business model have seen better days and no longer deliver value to consumers.
We provide due diligence service to evaluate the franchise opportunity you are considering by taking an in-depth review of the Franchise Disclosure Document. The cost of this service is $500.00. You will receive a detailed report detailing the good, bad and the underbelly associated with the franchise opportunity. We are not attorneys and don’t profess to offer legal advice, we are experienced in franchising and business. Our report digs into the franchise business model and helps you determine the value of the opportunity. We do not review the franchise agreement directly other than the terms and conditions disclosed in the Franchise Disclosure Document.
Franchise Perfection reviews help you identify the investment worthy franchise systems and save you time and legal fees investigating franchise systems that are not investment worthy.
For more information contact Jim Coen at firstname.lastname@example.org or call 617-469-3002.