After signing the franchise agreement, you might wonder about the next step. Understanding the whole process is necessary to start a franchise business.
Once you become a certified franchisee after you have signed the contract, this opens you to a new process of entering the business world. Without the proper training and preparation you need, it would be hard to face the different challenges ahead of you.
And now you have it, owning a franchise business – the pinnacle of the American dream. There are three things a franchisee like you usually do after signing a franchise contract. But first, let me give you an overview of the franchise agreement.
What is the franchise agreement?
This is a contract where all of the regulations and policies of the franchising system are disclosed. It is a legal agreement between the franchisor and the franchisee abiding by the Franchise Rule set by the US Federal State Commission.
The maturity of the franchise agreement ranges from 5 to 25 years where 10 years is considered to be the average timeframe. Also, 4 factors are included in the franchise agreement.
• License to use the trademark and the brand name
• Details on the business system and marketing operations
• The franchise fee/s
• The company policies
Signing the franchise agreement means you have agreed to the company terms and conditions. Now, let us discuss the next processes that you should expect after signing the agreement.
3 Things To Do After Signing The Franchise Agreement
Being a certified franchisee doesn’t end in signing up the contract. You agreed to a business which means you have entrusted your investment even without knowing the real score ahead. Be prepared for the following processes to make sure that you will be a successful franchisee.
After signing a franchise agreement, the first thing to expect is the schedule for the training. During the training, you will be provided a step-by-step guide organized by the franchisor. The franchise training course will give you all the knowledge, skills, and expertise to run the business.
2. Ongoing Support
Even right after launching your franchise business, you will still get unlimited support from the franchisor. Most of the largest and biggest franchise companies often offer a help desk where a franchisee can seek assistance whenever needed.
The ongoing support also means you will be evaluated annually to ensure the quality of the brand is still in line with the company policy. As an advantage to the franchisee, the annual evaluation gives a refresher on how to run and manage the business with sustainability.
3. Continuing Fees
Eventually, you will have to run the franchise business that you chose to commit. And it would be best if you always give attention to your rights as a franchisee at the beginning of the process.
The fact that franchisors have set rules for the company’s benefit. Also, they have given franchisees reasonable rights, which have indicated in the contract.
Therefore, familiarizing your franchise agreement can be your guide to being the best franchisee. And understanding the contract is your escort to the franchising world. With that, always make your franchise agreement your reference to manage the business.
Even if you have already decided to invest in a franchise business, make sure that it is clear to you what will happen next after you sign the contract. It will help you prepare what to expect.
But on the other side, if you want to understand the whole process of acquiring a franchise business. It is better to speak with a franchise coach or consultant.