What Are the Risks Involved in Buying a Franchise?
MODERATED BY JOHN WALSH If you’ve been considering buying a franchise business, you are probably weighing the pros and cons and looking for holes in the logic. As with any business venture there are risks involved with buying a franchise. Q: Do women face unique risks starting a franchise business? A: This is a pretty common question and the answer applies to minorities as well. Essentially, the answer is no. The playing field is pretty level today, whether you are a woman, African-American, or Asian. In fact, in a recent Entrepreneur.com survey 18% of franchisors reported that minorities are their primary franchise buyers. Q: Is it possible that I could pay my franchise fees and not receive the support I need? A: Certainly there are grifters out there who will take your money and move on to the next mark. As with any major investment, due diligence is critical. Research the franchisor, get referrals of existing and previous franchisees, and get everything in writing. Q: What happens i
