6 Critical Questions You Should Ask Before Owning a Franchise
Updated: Nov 9
Owning a franchise is tough in any industry. TitleEase will work with you to help you thrive in the title insurance industry by making the nationwide network of resources and relationships of the Lincoln Family of Companies. Still, owning a franchise is difficult, and owners must be prepared financially, organizationally, and personally.
Ask yourself these 6 questions before owning a franchise
1. Are you prepared to manage your own business?
A major misconception about owning a franchise is that it is less work. While it will give you access to the franchisor’s software, insurance, operational policies and procedures, and compliance, it is still your responsibility to grow your client base, and provide products, closings and related services.
2. Is the franchise system right for you?
Owning a franchise requires maintaining consistency with the products and services of the franchisor. Becoming a partner means adopting – and benefiting from – someone else’s experience, operations, and procedures.
3. Can you afford it?
While owning a franchise provides you with many perks, you must be able to afford the start-up costs and have adequate funds to support the business until ongoing operational costs.
4. Do you understand the legal documents?
It is critical to scrutinize the franchise disclosure document and franchise agreement that contain the terms of your agreement with the franchisor. We recommend that our franchisees hire an attorney to assist with this process.
5. Is the franchise successful?
When choosing the franchise that’s right for you, research the business background of the company directors, conduct a financial analysis of the company, and take into consideration how long it has been in business. Look for a franchise that is an industry leader with years of experience. It’s also important that the franchisor’s staff is cooperative, supportive, and friendly.
6.Do you have a support system?
Owning and managing a franchise requires a lot of time and energy. It is important to have a strong support system both in your personal life and professionally. Hire professionals that understand the franchise culture and goals. As a Titleease franchisee, you will be supported by our national relationships and resources.
Now that you’ve considered these basic questions, you can start thinking about the nuts and bolts of owning a title franchise. Let us assist you in estimating monthly gross income and EBITDA figures your title company may produce and answer any questions you may have.
To learn more about this opportunity, contact us or call 1-877-696-5462 to speak with a representative today!