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10 Questions to Ask on Your First Phone Call With Franchise Headquarters

10 Questions to Ask on Your First Phone Call With Franchise Headquarters

By FranchiseKing, Guest Blogger
Published: September 16, 2014

It may end up being the most important phone call you’ll ever have as it relates to your decision to become your own boss.

The phone call I’m referring to: your first call with a representative from franchise headquarters of the franchise concept you’re interested in learning about.

In this post, I’m going to prepare you for the call and provide some great questions to ask the franchise sales representative, so you can determine if the franchise you’re interested in could be a good fit for you.

The Call

A conference call with the franchise salesperson will be scheduled after you request information from the company. It’s the only way to get the details and some of your preliminary questions answered. The franchisor’s website may be informative, but talking with a representative of the franchisor really needs to happen if you’re serious about getting the facts.

The first phone call is usually a friendly, “let’s get to know one another” type of call. You’ll be asked questions about your career, your reasons for wanting to be your own boss and other things that relate to your interest in the opportunity. You’ll also be asked some money questions; the salesperson wants to make sure you’re financially qualified to buy their franchise.

Next, it will be your turn to ask some questions about the franchise concept. Here are 10 good ones:

  1. How long has the franchise company been in business?
  2. How long has the franchise salesperson been with the company?
  3. How many franchise units does the company currently have?
  4. What does the franchisor look for in a franchisee?
  5. What is the total investment?
  6. Is there territory available in your area?
  7. How long will it take to go through everything you need to know* and make a decision?
  8. Does the franchisor offer financing?
  9. What is the failure rate?
  10. What does the future hold for this franchise concept?

These are some great questions to ask to give you a general picture of the opportunity. You’ll probably come up with a few of your own, too, so ask away!

At the end of the call, the franchise salesperson will ask you to gauge your interest level and will outline the next steps in the process. You have a few choices at this stage. The first choice is to ask the franchise salesperson for some time to mull things over. The second one is to share that your interest level is high, and you’re ready to continue on to the next step. If the franchise concept isn’t what you thought it was, and you don’t feel that it’s a good fit, the third option is to say thank you, and tell the salesperson that the franchise isn’t for you.

In my experience, most of my clients I have worked with continue the process with the franchisor after the first call, because they haven’t learned enough to make an intelligent decision on the franchise. My suggestion: Unless you’re totally convinced that the franchise opportunity is not right for you, go to the next step. There’s so much to learn. And who knows, the franchise you’re interested in could turn out to be “the one.”

*Non U.S. Government link

About the Author:

Joel Libava

Guest Blogger

The Franchise King®, Joel Libava, is the author of Become a Franchise Owner! and recently launched Franchise Business University.