How do I compare fast food franchise brands before buying one?

Franchisor websites and brochures are built to attract buyers, so they make poor yardsticks. A better approach is to write down the questions you care about and ask every brand the same ones. You then compare answers instead of impressions. Two brands that look alike in marketing may differ once the same questions go to people who run the stores.

Talk to owners, not only the franchisor

Ask the franchisor for a list of current owners and call several, including owners of weaker stores. Ask what they would change, how quickly the franchisor answers questions and whether promises made before signing were kept. Also look for owners who have left the system and ask why. Your lawyer can explain which disclosure rules apply to the franchise.

Support, training and menu fit

Find out what training new owners receive, who visits the store and how often, and what happens when something goes wrong. Then ask whether the menu suits your market. A product that sells well in a big downtown may sit poorly in a small commuter town. The franchise brand audit guide shows how to read the inspection side.

Format, territory and resale history

Brands offer different formats, such as a street-front store, a food court unit or a drive-thru, and each changes your hours, staffing and rent. Ask what territory protection exists, if any, and in writing. Then ask how resales of that brand have gone: how long stores take to sell, whether the franchisor approves buyers promptly and whether owners leave with a result they expected.