* The only thing that gives your franchise business any resale value is the stability of the franchise agreement.
* If you sell a franchise agreement that has XX years left to run, your buyer must be sure that that agreement won't be changed or "renegotiated".
* In any contract renegotiations, there is a winner and a loser, and with a powerful franchise company, the corporation always wins.
* Anytime a franchisee is asked to change the terms or the application of those terms, they are damaging the future value of that franchise.
* A franchise agreement that's constantly changing and renegotiated eventually becomes worthless.
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2 comments:
100% true. That is really all that you have to sell. Used restaurant equipment is essentially worthless unless it is a part of a thriving enterprise with good business terms in its lease and franchise agreement.
Franchisees assembling to negotiate changes (permanent or short-term) to their franchise agreement(s) are participating in a suicide pact.
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