356 – Starting a Franchise Business
Magdalena: Thanks for meeting with me today. I’ve read through the materials your company sent me, but I still have some questions about opening a franchise.
Phil: That’s what I’m here for. What questions can I answer for you?
Magdalena: Well, I’m familiar with the franchise fee, but are there recurring fees not listed in these materials?
Phil: That’s a good question. In addition to the annual franchise fee and the monthly royalties, we also charge a training fee and an advertising fee. Here’s a list of these and other fees.
Magdalena: Oh, that’s very useful, thanks. I was also wondering what kinds of quality controls the franchises are subject to.
Phil: As you know, when you start a franchise, you are buying into a proven formula for success. We offer a turnkey operation and you will be trained on how to run your business, down to the smallest details. To maintain these standards, we conduct spot checks of all of our franchises from time to time and we audit the books of each franchise once a year to make sure that our standards are being met. Only in very rare occasions do franchises lose their franchise rights because they’ve failed to meet our standards.
Magdalena: What if I have problems along the way? What kind of support does the corporate office provide?
Phil: We give our franchises as much support as possible. After all, it’s in our own best interest that you succeed. We provide troubleshooting and training for your management and employees.
Magdalena: I think those are all of the questions I have right now. I really appreciate your time. If I have other questions in the future, can I contact you?
Phil: Certainly. Here’s my card. I’d be happy to answer any questions you may have. Just give me a ring.
Magdalena: Thanks, I’ll do that.