Sometimes potential franchisees have important concerns and questions regarding the reality of franchising. They might also wonder why they should utilize the services of a franchise broker. Why not figure it out by oneself?

FranSave is happy to address concerns like that. Below are some frequently asked questions related to how you, as a franchisee, can utilize franchise brokers.

Important FAQs

• Why Buy a Franchise in the First Place?

1. 1. • The bottom line is that this might be the most lucrative way to do business today. AllBusiness.com came up with 40 reasons to franchise. According to Mike Welch, President of FranNet Minnesota, franchise businesses are about five times more likely to stay in business 10 years post-launch compared to traditional businesses.

• Why Use a Broker?

1. 1. • So, why do franchise businesses last so much longer? Because a franchise system allows you to receive the best of both worlds: 1) Entrepreneurial freedom that you don’t get with conventional employment, and 2) You still have a network of support rather than doing every task alone. However, the best way to win in franchising is to find the best possible franchise system with the aid of an expert. Hence, using a brokerage firm. Sure, you can discover a good franchise system on your own, but why do that when you can pay a little to have an insider scope out a great opportunity dramatically faster.

• How Much Do Brokers Cost?

1. 1. • Segueing from that, you might be wondering, “Well, how much should I pay to let somebody get me started better and faster?” Many broker networks will charge fees in exchange for their services, but FranSave charges $0 to work with one of our brokers. They typically earn a finder’s fee between $15,000 and $60,000, but only once they have matched you with a solid franchisor. They receive their commission from the franchisor after the candidate signs the Franchise Agreement and pays any applicable fees to the franchisor. Therefore, you as a franchise candidate pay nothing directly to a FranSave broker.

• How Much Experience Do I Need to Do This?

1. 1. • Most of the time you would not be required to have substantial experience to begin franchising. So, even if you’re new to your preferred market or niche, you can launch into it right away because your franchisor will support your development. The parent franchise company provides all the necessary training to successfully operate a business. The broker will have important insight to share with you about the ideal candidate and in many cases, you don’t need to be anything close to an industry expert. 

• Is the Broker Really on My Side?

1. • This is a great question. You should only trust a reputable broker obviously, but the good news is that the franchising business has a lot of self-policing elements that prevent unscrupulous firms from manipulating clients. For one thing, most franchisors are very selective about who they let franchise with them, which gives the broker incentive to ONLY recruit and place qualified/serious candidates.

FranSave is in the business of educating clients and positioning them into the best possible franchising opportunities. Whether you seek to become a franchisor or franchisee, we have plenty to offer. Call us at 844-476-7776 to learn more.