PROS & CONS | GLOSSARY | THINGS TO CONSIDER
QUESTIONS TO ASK THE FRANCHISOR | COMMONLY ASKED QUESTIONS

PROs

• The marketplace has already been checked out by the franchisor and determined the system to be successful.
  
  
• The franchisor utilizes collective buying power and passes on the discounts to you
  
  
• Local and national advertising for the franchise operation as a whole is supplied by the franchisor.
  
  
• Supervision, training programs and consulting are readily available from the franchisor.
  
  
• Ongoing research and development is provided by the franchisor.
  

CONs

• You have to pay the franchisor royalties even when not making profits.
  
  
• The contract with the franchisor must be renewed after a certain period of time.
  
  
• There is a lack of flexibility because business methods are dictated by the franchisor.
  
  
• The franchisor's problems are also your problems.
  
  
• You may be forced to buy products supplied by the franchisor rather than the most cost effective product available.