A franchise is a contract that will allow you to use the products or services under the franchisor’s brand.
As a franchisee, you will also have access to its methodologies, its know-how and the teams dedicated to supporting franchisees at the headquarters (marketing, purchasing, legal, etc.) in exchange for entry rights and royalties.
In practice, all the knowledge and technical tools will be brought to you by the franchisor, which will make it easier for you to start a business and / or a country that is new to you. Each party has rights and obligations to respect. All these elements are detailed in the franchise agreement.
An American franchise must give you its “Franchise Disclosure Document” which presents all its elements according to a pre-established structure, which is the same for all franchises. This document also contains the history of the franchise and its managers, as well as a good deal of quantitative information, initial budget, expected costs and most often a presentation of the results of existing franchisees. It also contains the contacts of these franchisees, the balance sheet of the parent company.
During the franchise discovery process, we will guide you through understanding and analyzing this document.