Franchise Warnings: What you really need to know before you buy

Buy a franchise and secure your financial future; right? There is a huge industry that is built upon you buying a franchise, paying a franchise fee and then working hard every day to keep the stream of royalties flowing. Franchisors, suppliers, distributors, franchise brokers and others all have a vested interest in continuing the myth that opening a franchise is the easy path to success. Over the years, I have worked for franchisors, helped franchisees try to sell their businesses and worked with buyers trying to buy new and existing franchise locations. Inside you’ll find lots of stories of the situations and events that I’ve witnessed in my years as a business broker and consultant. If you’re thinking of buying a franchise, there are dozens of books which will help you choose the right one for you, but very few books that will show you the hazards. Before you invest and borrow hundreds of thousands of dollars to realize your small business dream, invest a few dollars and some time in learning what can go wrong.