Checklist before you start a Financial Service Franchise

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<html> <head> <title>Checklist before you start a Financial Service Franchise</title> </head> <body> <h1>Checklist before you start a Financial Service Franchise</h1> <div class="info">Author: <a href="http://www.a1articles.com/author_1_94887.html">Susan Hutson</a></div><div class="body">When you are starting a financial services franchise, there are a number of issues that you should look into, the most important being the franchise. You should not proceed to do anything if the franchise contract is not intact. Therefore, make sure your contract abides by the following checklist.<br /> 1. Does the contract provide protection for you and the franchisor?<br /> 2. Are the obligations and the rights of both parties properly stated?<br /> 3. Does the contract have any specific details as to the scale of the business that you are supposed to conduct?<br /> 4. Are the payments that you would have to make to the franchise clearly mentioned? This includes:<br /> 1. The franchise fee<br /> 2. Royalty payments<br /> 3. Fees for continuous support from the franchisor<br /> 4. Advertising fees<br /> 5. Is there a particular amount of sales which has to be generated every year? Is it a realistic target?<br /> 6. Does the contract mention all the verbal promises that the franchisor made initially?<br /> 7. Will the franchisor be able to get you the required provincial and federal registrations?<br /> 8. What are the terms and conditions on which the contract can be renewed or broken?<br /> 9. When a loss has been made in a particular month, can the royalty payments be deferred till profits start coming again?<br /> 10. Are you the one who has to finance any improvements to your site? If yes, do you have to follow the specifications and plans of the franchisor or are you free to do the improvements as you like?<br /> 11. Are you allowed to sell the franchise? If yes, what are the conditions for this?<br /> 12. How is the sale price of the franchise determined and will you be able to retain the profits made from the sale?<br /> 13. Is there a penalty which you may have to pay if you terminate the contract? If so, how much is it?<br /> 14. Are you restricted from carrying out any other business activity for the duration of the contract?<br /> 15. How and when will the franchisor terminate the contract?<br /> 16. What is the means of compensation available to you for the goodwill that you have built for your franchise?<br /> 17. Is there a term whereby you cannot own, establish or work in a competing firm for a particular number of years after you have ended the franchise contract?<br /> 18. Before you put pen to paper, are you sure that purchasing a franchise will be more beneficial than starting a business yourself?<br /> <br /> <br /> Is a <a href="http://www.bizymoms.com/franchises/interface-financial/index.html" target="_blank">Financial Services Franchise</a> right for you? Find out about this and other great <a href="http://www.bizymoms.com/franchises/opportunities/index.html" target="_blank">franchise opportunities</a> for moms by visiting the Bizymoms franchise directory! </div> <div class="source">Article Source: <a href="http://www.a1articles.com/checklist-before-you-start-a-financial-service-franchise-1029362.html">http://www.a1articles.com/checklist-before-you-start-a-financial-service-franchise-1029362.html</a></div> <div class="author"> <div class="authorBio"></div> </author> </body> </html>

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Checklist before you start a Financial Service Franchise Author: Susan Hutson When you are starting a financial services franchise, there are a number of issues that you should look into, the most important being the franchise. You should not proceed to do anything if the franchise contract is not intact. Therefore, make sure your contract abides by the following checklist. 1. Does the contract provide protection for you and the franchisor? 2. Are the obligations and the rights of both parties properly stated? 3. Does the contract have any specific details as to the scale of the business that you are supposed to conduct? 4. Are the payments that you would have to make to the franchise clearly mentioned? This includes: 1. The franchise fee 2. Royalty payments 3. Fees for continuous support from the franchisor 4. Advertising fees 5. Is there a particular amount of sales which has to be generated every year? Is it a realistic target? 6. Does the contract mention all the verbal promises that the franchisor made initially? 7. Will the franchisor be able to get you the required provincial and federal registrations? 8. What are the terms and conditions on which the contract can be renewed or broken? 9. When a loss has been made in a particular month, can the royalty payments be deferred till profits start coming again? 10. Are you the one who has to finance any improvements to your site? If yes, do you have to follow the specifications and plans of the franchisor or are you free to do the improvements as you like? 11. Are you allowed to sell the franchise? If yes, what are the conditions for this? 12. How is the sale price of the franchise determined and will you be able to retain the profits made from the sale? 13. Is there a penalty which you may have to pay if you terminate the contract? If so, how much is it? 14. Are you restricted from carrying out any other business activity for the duration of the contract? 15. How and when will the franchisor terminate the contract? 16. What is the means of compensation available to you for the goodwill that you have built for your franchise? 17. Is there a term whereby you cannot own, establish or work in a competing firm for a particular number of years after you have ended the franchise contract? 18. Before you put pen to paper, are you sure that purchasing a franchise will be more beneficial than starting a business yourself? Is a Financial Services Franchise right for you? Find out about this and other great franchise opportunities for moms by visiting the Bizymoms franchise directory! Article Source: http://www.a1articles.com/checklist-before-you-start-a-financial-service-franchise-1029362.html About the Author:

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