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Are you ready to be a franchisee?

Owning a business is an incredible responsibility. Not only will an owner be responsible for daily operations and obligations, he or she typically has much more on the line than anyone else involved. 

Because of all that is required and at stake when it comes to business ownership, some people in Atlanta prefer to instead become a franchisee. Operating a franchise means running a business without having to start it all from scratch. Further, most franchisees will receive training, tools and guidance from the franchisor. All of these resources and expectations should be laid out in the franchising agreement.

As discussed in this article by Entrepreneur magazine, there are many elements of a franchise agreement that you will agree to if you wish to be a franchisee. Before you sign one, you should ask yourself some very important questions first.

  • Will I get the support I need? Does the franchisor offer the necessary training, marketing tools and other materials to support your franchise's success?
  • Can I play by the rules? As a franchisee, you will need to comply with the often-strict rules set by the franchisor. If you don't think you can do this and if you aren't able to negotiate the terms, you may not want to sign. Otherwise, you risk being accused of breach of contract.
  • Do I understand the expectations of a franchisee? Consider discussing the realities of how the franchise operates with other franchisees to make sure you are still willing and able.

These are just some of the questions you'll want to examine prior to signing a franchise agreement. Other matters, including financial obligations, should be thoroughly discussed as well.

If you decide that you are indeed ready and able to run a franchise, it would still be wise to consult an attorney prior to signing anything so that you are sure you and your rights are protected. Failure to do so could prove to be a serious -- and costly --mistake that puts your success as a franchisee in jeopardy.

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Kaufman & Forman, P.C.
8215 Roswell Road
Building 800
Atlanta, GA 30350

Toll Free: 800-461-5864
Phone: 678-957-7769
Fax: 770-395-6720
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Robert Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the May issue of The American Lawyer & Corporate Counsel magazine.Alex Kaufman has been selected as a 2013 Top Rated Lawyer in ‘Commercial Litigation’ as will be published in the December issue of The American Lawyer & Corporate Counsel magazine.

*AV Preeminent and BV Distinguished are certification marks of Reed Elsevier Properties Inc., used in accordance with the Martindale-Hubbell certification procedures, standards and policies. Martindale-Hubbell is the facilitator of a peer review rating process. Ratings reflect the confidential opinions of members of the bar and the judiciary. Martindale-Hubbell ratings fall into two categories: legal ability and general ethical standards.