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The Franchise Validation Checklist
27 Questions to Ask Current and Former Franchisees Before You Sign
Most franchise buyers speak to 2–3 current franchisees and call it done. The FTC says Item 20 exists so you can talk to owners who are already inside the system — and former owners who left it. These 27 questions will help you use those conversations properly.
Covers all 7 key validation areasBased on real FDD ItemsFree — no credit card
What's inside
7 validation categories, 27 questions
Opening Costs and Capital
5 questions covering Items 5, 6 and 7
- —What did Item 7 miss in your actual opening costs?
- —How much working capital did you actually need?
- + 3 more questions
Fees and Royalties
4 questions covering Item 6
- —Have royalty or advertising fees increased since you signed?
- —Do required supplier purchases cost more than market rate?
- + 2 more questions
Financial Performance
4 questions covering Item 19
- —Did your actual sales match what Item 19 suggested?
- —What does owner take-home look like after all fees?
- + 2 more questions
Territory and Competition
3 questions covering Item 12
- —Has the franchisor opened anything near you since you signed?
- —Do online channels compete with your territory?
- + 1 more question
Renewal, Transfer and Exit
4 questions covering Item 17
- —Have you seen the then-current agreement at renewal?
- —Would the non-compete restrict you if you left?
- + 2 more questions
Franchisor Support
3 questions covering Item 11
- —Does the franchisor deliver on training promises?
- —How responsive is field support when you need help?
- + 1 more question
The Honest Questions
4 questions every serious buyer should ask
- —Would you buy this franchise again at today's economics?
- —What do you wish you knew before signing?
- + 2 more questions