Why Should I Use A Franchise Attorney And Not My Wife, Nephew, Neighbor Or Friend Who Is A General Attorney?
Would you want a family doctor to perform brain surgery on you? A general business attorney or any other type of attorney will not know what terms are typical, the types of terms that might be revised, and the best way to advise you. With our combined decades of experience, we are well-suited to provide the legal advice you need.
Are Franchise Agreements Negotiable?
Typically, established systems do not negotiate their franchise agreements. However, newer systems that are just getting started selling franchises are more anxious to get the first few franchisees in their system and typically they do negotiate their agreements. We are familiar with many different brands and have a pretty good idea which ones will negotiate their agreement and which will not.
If The Agreements Are Not Negotiable, Why Do I Need An Attorney?
Our reasonable flat fee for a review has not changed in years and includes, among other things, a two-to-three-hour review call to go over the documents and answer your questions. This is a fabulous opportunity to get a clear understanding of the contract and what your obligations are to the franchisor and what to expect from them.
Why Do I Need An Attorney To Form My Business Entity?
Filing the paperwork with the state is just one step in properly setting up your business entity so it shelters you from personal liability to 3rd parties. The entity set up with the state but not maintained properly or set up fully with an operating agreement if it is a limited liability company or with by-laws and initial minutes if it is a corporation, can mean a court may look beyond the entity and still hold you personally liable. We have the knowledge and experience to ensure that your entity is formed properly.
What Kind Of Help Can You Provide To Me If I Am Buying An Existing Franchise Location?
Buying an existing franchise location entails two parts – the first is evaluating the franchise opportunity. That is, evaluating the relationship between you as prospective franchisee, and the prospective franchisor. This includes reviewing the franchise agreement and advising on validating the franchise opportunity.
The second part is evaluating and helping to validate the acquisition of the business. This is the buyer-seller relationship. This entails drafting or reviewing and negotiating the purchase agreement and all accompanying documents, including evaluating the lease if it is a brick and mortar business.