Getting The Right Info

Startup Journal:

Question: My wife and I are interested in purchasing an existing national franchise with two established locations and exclusive rights to operate within a large and fast-growing metropolitan area. What questions should one ask the current owner when considering the purchase of an existing franchise?

Answer: Talking extensively with the owners is a good idea when buying any existing business, franchise or not. But be careful putting too much stock in what the seller says, for obvious reason: they want you to buy it.

“Remember, they may be in a bad situation they want to get out of and will paint a rosier picture than is true,” says Mario L. Herman, an Adamstown, Md., lawyer who represents franchisees. Read More