It’s Business And It’s Personal

Due to precautions related to COVID-19, remote consultations via teleconferencing, Facetime or Skype are available. Please contact our office to discuss if this option is appropriate for your situation. Let’s all stay healthy and safe.

Steps to take when purchasing a franchise

| Oct 21, 2017 | Buying & Selling Businesses |

North Carolina residents may be able to achieve their dream of being an entrepreneur by buying an existing franchise as opposed to starting a business from scratch. When a franchise is purchased, the business owner acquires a license to use another company’s products or brand name. Format franchises are the most common arrangement. This is when a company gives the franchisee a brand name and other materials to start the business right away.

In such a scenario, a franchisee will receive training, marketing assistance and other help needed to be successful. In a traditional franchise arrangement, the focus from the franchise is more on the product as opposed to how the business is run. Ideally, a person will choose to purchase a franchise that has a notable brand name. This may increase his or her ability to survive as a business owner for five years or longer.

Franchisees can improve their odds of success by working with companies that support them. It is also important that a potential franchise owner thinks hard about what types of companies that he or she would be best suited to operate. This may include considering the type of hours that a person would like to work, where he or she would like to work and how much money is available to start the business.

Those who wish to purchase a business may have a lot of due diligence to conduct before making the purchase. An attorney may be part of a team that may help an individual conduct that research. Having legal counsel may also be helpful when it comes time to draft, review or sign a purchase contract. Having such assistance may increase the odds that a business owner realizes a profit on his or her investment.

Archives

FindLaw Network