Free franchise consulting
Should I believe the person who has offered me "free" consulting to help find a franchise?
As the great economist, Milton Friedman, once said, "There is no free lunch."
Most franchise consultants offering "free" services will make their money when they sell an opportunity that pays a commission. Under this arrangement, the consultant has established relationships with certain franchisors that have agreed to pay a commission when a sale is made.
Now, the process might work for quality franchisors that use such agents to identify the right franchisees for their program. But the same process can be unfortunate for inexperienced and naive prospects who do not understand exactly what they're being offered.
Brain Trust contributor:
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