How Important Is Due Diligence When Buying a Franchise?
I get asked this a lot:
“How important is due diligence when you’re buying a franchise?”
And my answer is simple: it’s absolutely critical.
Start With the FDD
The Franchise Disclosure Document (FDD) is your Bible.
Inside it, pay special attention to Item 19 — that’s where you’ll find financial performance details from current franchisees.
Reading through this gives you a sense of what you might expect.
Talk to Existing Franchisees
Don’t just take the franchisor’s word for it.
Reach out to people already running franchises in the brand.
Ask them:
How is the support?
What was training like?
Are they profitable?
Would they do it again?
These honest conversations are priceless.
Chat With People You Trust
Buying a franchise is a big decision.
Talk to your spouse, friends, mentors — anyone who knows you well.
They can help you think through the big picture, ask tough questions, and make sure you’re ready.
So… How Important Is Due Diligence When Buying a Franchise?
It can’t be skipped.
Doing your homework protects you, your investment, and your future.
Take your time, ask lots of questions, and be sure this is the right move for you.
*This is not an offer to sell a franchise. Franchise offerings are made only through the delivery of a Franchise Disclosure Document (FDD)*
