Common Questions

FAQs

No hype. No fluff. Just clear answers to the questions every serious franchise buyer asks.

If you don’t see your question here — let’s talk.

General Franchising Questions

Q1: What exactly is a franchise?

It’s a proven business system you buy the rights to use. You pay fees and royalties in exchange for training, support, and a playbook that’s been tested 100+ times.

Q2: Why should I consider a franchise instead of starting my own business?

A: Because you don’t need to reinvent the wheel. A franchise compresses decades of lessons into weeks of training. If you want freedom, equity, and scalability without gambling on a new idea — franchising makes sense.

Q3: Isn’t franchising just fast food?

A: No. Less than 20% of franchise brands are in food. There are proven systems in home services, senior care, children’s education, fitness, B2B services, automotive, and more.

Q4: How much do franchises cost?

A: Most of the brands I work with require a total investment of $250K–$750. That includes franchise fees, startup costs, and working capital. Some franchises go up to $2.5M if you also buy the real estate.

Q5: Do I need millions to qualify?

A: No. Many franchises can be started with $75K–$300K in liquid capital plus financing. Most franchises have a minimum net worth requirement of $250k to $1M. Tracer Franchising can help you with funding options to include SBA loans, penalty free retirement rollovers, unsecured lines of credit, and more.

Financial & Risk Questions

Q6: How do I know if I can afford a franchise?

A: We run your financial profile against franchise requirements. If you can’t qualify, I’ll tell you upfront. No wasted time.

Q7: How do most people fund their franchise?

A: The most common path is an SBA loan, often paired with cash savings or a ROBS (retirement rollover). We’ll explore all options.

Q8: What’s the risk of losing everything?

A: There’s always risk. That’s why we only look at proven franchises with strong validation and low turnover. We plan conservatively, assume you’re middle of the pack in year one, and test the numbers hard before you commit.

Q9: How long until I make money?

A: It depends on the brand, the market, and your execution. You can build in a modest "manager" salary and pay yourself from your loan. You could also not take any payments until you are cash flowing. The exact method of paying yourself back will vary based on your needs and the franchise your own.

Q10: What happens if I fail?

A: Worst case, you close and owe on loans. That’s why validation calls, financial modeling, and due diligence are critical. My job is to help you avoid brands with poor outcomes. Ultimately, success of failure comes down to 1) you being the right fit for the franchise and 2) You following the playbook and working hard once you open the business.

Lifestyle & Commitment Questions

Q11: Can I run a franchise part-time?

A: No. If you’re looking for a side hustle, you’re not ready for this. You need to be full-time and hands-on, especially at launch.

Q12: How much time will this take me every week?

A: Early on, expect 50–60 hours as you launch if you want to maximize growth. Once the business matures and you add managers, you can move toward 30–40 hours, sometimes less. If you want to work less, you will grow slower or not at all. Some people are ok with slower growth because they are prioritizing other parts of their life. However, expect a minimum of 40 hours at the start to prevent the business from totally failing.

Q13: Do I need to have industry experience?

A: No. The franchisor trains you. Your leadership, management, and financial skills are what matter.

Q14: What if I don’t like sales?

A: Every franchise has some form of sales — whether it’s you networking, convincing employees to follow brand standards, or creating a culture of exceptional customer service. We’ll match you with a model that fits your style.

Q15: Will this take me away from my family?

A: It will take effort, especially at the start. But the goal is freedom, flexibility, and legacy for your family. The sacrifice is front-loaded.

Research & Process Questions

Q16: How do I know a franchise is legitimate?

A: We dig into the Franchise Disclosure Document (FDD), validation calls with current franchisees, and outside research. If the numbers or franchisees don’t line up, we move on.

Q17: What’s an FDD?

A: The Franchise Disclosure Document. It’s a 200+ page legal and financial document that franchisors are required to give you. Most people don’t know how to read it — I’ll walk you through the key items.

Q18: What if the franchisor is pushing me to sign quickly?

A: That’s a red flag. Good franchisors welcome deep due diligence. If they don’t, we cut them.

Q19: Do I get to talk to franchisees before deciding?

A: Yes — it’s called validation. You’ll speak with multiple owners to hear the unfiltered truth. If franchisees don’t speak highly of the brand, you’ll know.

Q20: What if two franchises both look good?

A: We compare them side by side with financial models, validation notes, and checklists. The best fit usually becomes obvious.

Research & Process Questions

Q21: Why should I use a broker?

A: Because I cut out the noise and guide you to the right fit. My incentive is to get you into the right brand, not the fast one. Furthermore, it's free for you because the franchisors pay me like a recruiter and they legally can't charge you more for working with me.

Q22: How are you different from other brokers?

A: Most brokers have never owned a franchise. I own three. Most haven’t sold franchises for a franchisor. I have. Most don’t have a process beyond “here’s a few brands.” I built an 18-step research framework, app, and resource hub.

I actually call myself a broker and not a "coach", "consultant", "guide", "analyst", or any other name they come up to mislead you into thinking they aren't brokers.

I thoroughly vet franchises before presenting them to you. I read the FDD, consider revenue averages, consider turnover rates, research the industry, and speak to franchisors and franchisees on the podcast.

I have sold franchises and I know how franchises hide their dirt and all the tactics they use to make you comfortable with major red flags. Most other brokers either ignore these issues to make the sale or they are willfully ignorant of them (ask me how I can prove this is true). I actively counter them by giving you the right questions to ask and meeting with you weekly to hear what the franchisors are telling you.

Q23: Do you only work with veterans?

A: No. But veterans are my specialty. I also work with MBAs, ETA Searchers/ former searchers, executives, and professionals who want proven systems, not hype.

Q24: What happens if I decide franchising isn’t for me?

A: That’s fine. My goal isn’t to sell you something — it’s to help you make a clear, confident decision. Sometimes the answer is “no.”

Q25: Why should I trust you?

A: You don’t have to. That’s why I give you podcasts, articles, and frameworks to vet me before we ever talk. When you’re ready, we’ll have a real conversation. If you still don't trust me, you can use the app to research franchises on your own.