When that franchise agreement format shows up just prior to launching you new franchise, it pays to give it some priority attention.

The franchise agreement format that you get from the franchising company may look like a bunch of legal mumbo jumbo at first. But don’t just toss this important document on that stack of mail you never read. It is packed with all kinds of important information. Your ability to complete the review of the franchise agreement format is not optional if you really want this franchise.  It is a must.

When the franchisee sends you the franchise agreement format, that means things are about to get serious.  See it as the last big step before launching your exciting new money making franchise big time. But be prepared to give this legal document some serious quality time. The terms and conditions laid out in the franchise agreement franchise are legally binding on you and on the franchisee. So next to the franchise operations manual to come later, this document is solid gold to you for learning the nitty-gritty about how your franchise partnership will work.

The franchise agreement format is such a big deal that even the politicians got their noses into the act.  The FCC is all about making sure both you and the franchisee play ball according to the rules during the short time window after this document shows up in your mailbox. They are downright stubborn that you must be given at least five days to chew over what you see in the franchise agreement format before signatures are put on the bottom line and you get on to the serious business of buying a franchise.

The franchise agreement format is packed with information you will need.

Be sure you read and understand every single line of the franchise agreement format before you sign it and enter into a legally binding contract.  Like a marriage contract or joining the army, you don’t need to jump into anything until you know exactly what you are getting yourself in for.  There is a ton of great franchise information in that agreement that will let you know exactly where you stand.

The bonanza of information that will come flying out of that franchise agreement format includes the limitations of the territory your franchise can cover and the time limitations of the franchise. Unlike getting married, there are expiration dates on a franchise which can be good for you or for the franchise company because it is a natural way to cut and run if you need to. That is also called a built in exit strategy.

The franchise agreement format will be different for every company but you can expect to see exactly what the franchisees will have to live up to when they are your new partners in your new profit making enterprise. You will also understand without any questions what is expected of you long before you say “I do” to that franchise arrangement. Don’t be afraid to get your own legal eagles involved in interpreting the franchise agreement format. You can bet the franchisee has their legal hounds on the job so you have a right for your crew to do the same for you.