Does your business operate using proven processes and procedures (i.e. is the business systematized)?
Can others be trained to duplicate your system of operation?
Have you developed proven advertising and marketing programs, sales techniques and/or other methods to attract customers to your business?
Is your business profitable?
Is the profit margin sufficient to permit a Royalty Fee (i.e. a percentage of gross sales) to be paid by Franchisees while still providing a fair profit?
Will the projected initial investment required to develop and begin operating a franchise location permit the Franchisee to earn a 100% ROI within 5 years?
Has the business been in operation for more than two years?
Do you have more than one operating location?
Does your company enjoy a good reputation with customers and suppliers?
Will your current operation serve as the prototype for the Franchise Business (with minimal modifications required)?
Can your business be operated successfully in a wide range of markets?
Do you have regional and/or national sources of supply for equipment, fixtures, furnishings, inventory, products and supplies?
Is your industry projected to grow?
As additional locations open, do economies of scale exist related to purchases of equipment, inventory, products, supplies, and/or advertising and marketing?
Do you have existing employees who will assume specific responsibilities within the franchise operation (i.e. franchise sales, training, support, supervision)?
