More Money needed for Franchise
Image via Wikipedia
Todd Shields, writing at CaryGrove CountrySide, about franchising has an interesting observation, which should have been expanded.
He writes:
"With one's life savings on the line to open a franchise restaurant in the Chicago suburbs, detailed market studies are a must read.
Though taste, diet and lifestyle trends play heavily in restaurants intent on succeeding, quantifying observable demographics of customers -- age, income, education, ethnicity -- are critical profitability factors.
Market companies also study site characteristics of a pending store, such as traffic flow and volume, parking, ingress/egress lanes and visibility."
Alright, then where can you find information about site studies and traffic flows?
Do you think that your franchisor might have this information and not disclose it to you, for fear of making an illegal earning's claim?
Well, you are correct.
So how do you get this information, without putting the franchisor on hook?
Ask for it. If it is not part of the FDD or Disclosure Document, then you cannot legally rely upon it once you sign the franchise agreement with the standard waiver.
You can however use the information to check it out.
