How a Franchise Agreement and a Franchise Disclosure Document differ
There are two documents that are of vital importance...
As a prospective incoming franchisee in Canada, you've likely got a lot of questions. How much will things costs, what's the timeline to opening and everything else under the sun is probably coming to your mind. Keep in mind that this is entirely normal--there's a lot to learn before you join a franchise!
One area you likely want to know more about is what your role will be as a franchisee beyond simple operations. To get some insight, here are some questions to ask your potential franchisor.
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How much marketing will I do?
Discover what type of marketing your franchisor provides and what they will expect from you. It's a good idea to make a list of what they will do and what your responsibility will be. This way, you'll have an early start on your end and get right out there as soon as you officially join the brand.
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What skills do I need?
Chances are you already have the base skills for success in the franchise, but it's still worth knowing what the franchisor looks for in a candidate because this will give you a clearer idea of what you will be expected to do and excel at. If there are certain skills you know you need to brush up on, learning about them in advance will give you extra time to hone them.
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What is commonly behind a franchisee's failure?
The answer to this question will give you a clear indication of what not to do as a franchisee, and it can also shed some light on what isn't a part of your main role. If, for example, you learn that the top reason a franchisee fails is failure to follow the formula, it might make you less likely to step outside of your role and deviate from the formula if you are tempted to do so.
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What is my market base?
It's important you know your own consumers as a franchisee, and you also need to know if you're the person responsible for keeping on top of local market research once you open your location. Ask your franchisor for their market research into your area and whether they will continue to do research and share the data with you or if that will fall on you.
Part of being successful in a franchise is knowing what your role is as a franchisee. Before you open your doors, make sure you have a full understanding of what you need to do.
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