Without a doubt, one of the main mistakes I see in Franchising – particularly with prospective franchisees – is regarding Legal advice.

Time and time again, I see people (unwisely) choosing not to make the worthwhile investment into independent specialist legal advice. This usually means they end up faced with some very sticky situations further down the line.

Whether you’re buying, establishing or selling a franchise, it is always vital to seek out independent legal expertise.

The franchise agreement is a major commitment which ties you in for a number of years and requires major financial input. Failing to perform simple checks on what you are purchasing can lead you to make a very expensive mistake. I’d certainly hope most wouldn’t purchase a house without a survey, and the same principle goes here.

Franchisors and franchisees often do disagree over time as circumstances and aspirations change. Breach of agreement conditions can occur on both parts. A variety of issues can affect a franchise, from reputation damage to royalty payment issues. Whatever the situation, I cannot emphasise enough how vital it is to consult a legal advisor – specifically one who has knowledge of the franchising sector. But how do you choose the right one?

Our director Carl Reader explores more in the full article published in WhatFranchise magazine.

Read more: Carl’s WhatFranchise article

For more information about franchising, talk to us.

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