Franchising legal issues - the various stages

There are various legal stages that you will have to go through before you buy a franchise business.

1. Sign a confidentiality agreement if confidential information is being provided.

2. Enter into a deposit agreement, which will require payment to be made to the franchisor. Do take care as the payment may be non-refundable.

3. Obtain a copy of the franchise agreement.

4. Obtain legal advice on the agreement from a franchise lawyer.

5. Obtain franchise legal advice on premises if franchise is premises based.

6. Sign the franchise agreement and make payment as required in the agreement.