Buying a franchise can be a life-changing investment—but only if you choose the right one. With so many options across industries, how do you narrow it down? This guide outlines the most important questions to ask before signing the dotted line, helping you find a franchise that aligns with your goals, budget, and lifestyle.
1. What Are My Long-Term Goals?
Are you looking for a full-time commitment, semi-passive income, or a path to multi-unit ownership?
Your vision will influence the type of franchise that’s right for you.
2. What’s the Total Investment (and ROI)?
Look beyond the franchise fee:
- Equipment and build-out costs
- Working capital
- Royalties and marketing fees
- Break-even timeline and earnings potential
3. What Kind of Support Will I Receive?
Franchisor support can make or break your success. Ask about:
- Initial training
- Ongoing operational help
- Marketing assistance
- Access to vendors and technology
4. What’s the Reputation of the Brand?
Research:
- Online reviews
- Franchisee testimonials
- Legal disputes (check the FDD – Franchise Disclosure Document)
5. What Does a Typical Day Look Like?
Understand what you’ll actually be doing—whether it’s managing staff, marketing locally, or working hands-on.
Does the role suit your personality and skillset?
6. How Is the Territory Defined?
Ask:
- Is the territory exclusive?
- What happens if another franchise opens nearby?
Territory disputes are one of the top sources of franchise friction.
7. What Do Current Franchisees Say?
Speak directly with other franchise owners:
- Would they do it again?
- What challenges have they faced?
- How supportive is the franchisor?
Choosing the right franchise isn’t about picking the biggest name—it’s about finding the right fit. Ask smart questions, do your homework, and don’t be afraid to lean on a franchise broker to guide you through the process. Your future business—and lifestyle—depends on it.