Every business, at some point, thinks about franchising their business model and expanding with the use of franchisees. There are some great advantages to franchising but it is definitely not for everyone.Our global franchise experience can save you many hours of research:
Why Franchise
Franchising can be a great method of expansion if fund raising is a problem for your expansion.Franchising is in vogue currently and can be a great expansion tool if you have a replicatable business model and don’t mind sharing control of your business. AML & Associates can assist your analysis
Legal Issues
Franchising is a legally defined concept in most countries, states, provinces and districts. The U.S. has very stringent national laws and 15 states have laws that provide for additional information and filings. A “Franchise Disclosure Document” is a specific document every franchisor must provide to every potential franchisee and lays out your business model, concept, costs, requirements and ongoing relationship between the parties. This FDD can be anywhere from 40 to 500 pages, depending on your franchise.
”Non Revenue Generating Overhead”
Many small businesses have a real problem converting their mindset and internal structure from being a provider of products and services to customers to being the primary supplier of products and business expertise to a group of business owners who must, in turn, be successful for the franchise and the franchisor to expand. It is difficult but can be very rewarding.
Part Time CFO Management Consulting Expansion business model sharing control Franchise disclosure document legal issues franchisees franchisor internal structure products services ownership Dallas Texas
