How To Deal with Being Labeled a “Problem Franchisee”
Aug 24, 2023 - Blog by Goldstein Law Firm |As a franchisee, maintaining a good working relationship with your franchisor is important. It’s important for managing the stress of franchise ownership, it’s important for maintaining good lines of communication, and it’s important for managing your risk. If you get labeled a “problem franchisee,” not only can everything become much more difficult, but it can also put your franchise (and possibly your finances) in jeopardy.
What Makes You a “Good” Candidate for a Franchise?
Aug 17, 2023 - Blog by Goldstein Law Firm |As a prospective franchisee, you want to put your best foot forward. Once you do your preliminary research and decide on the franchise concept you want to pursue, you want to make sure you give yourself the best chance possible to move forward with an acquisition. While some franchisors are desperate for franchisees, these probably aren’t the franchisors you want to consider (at least not without being very careful). On the other hand, if a franchisor only has a select few desirable territories left in your area, you will want to do everything you can to make sure you don’t miss out on a good opportunity.
7 Common Issues for Hotel Franchise Owners
Jul 31, 2023 - Blog by Goldstein Law Firm |Like all industries, franchisor-franchisee relationships in the hotel industry often lead to disputes. Franchisors often over-promise and under-deliver, and franchisees often find themselves struggling to remain solvent due to factors beyond their control.
Buying a Hotel Franchise in 2023
Jul 24, 2023 - Blog by Goldstein Law Firm |The lodging industry is booming. Even with a slowdown caused by the COVID-19 pandemic, the lodging industry in the United States has experienced an average growth of 7.1 percent per year since 2018. As more people continue to travel both to and within the U.S., the industry appears poised for long-term growth as well.
What Franchisees Need to Know About Franchisor Incentive Programs
Jul 17, 2023 - Blog by Goldstein Law Firm |Franchisors use a variety of tools and tricks to attract high-quality candidates for franchise ownership. Recently, we have seen a trend toward franchisors offering various types of incentives. While these incentives are typically financial in nature, they take a variety of different forms—and they also come with a variety of caveats and conditions.
Health and Fitness: Is 2023 the Year to Invest in a Franchise?
Jun 30, 2023 - Blog by Goldstein Law Firm |The health and fitness industries are booming. Both industries remained relatively strong through the COVID-19 pandemic (though many fitness brands had to find alternate ways to meet their customers’ needs during mandatory closures), and recent data suggest that both industries are poised for success in 2023 and beyond.
Buying a Franchise in Retirement
Jun 23, 2023 - Blog by Goldstein Law Firm |If you worked your whole life while dreaming of being your own boss, you might be thinking about buying a franchise in retirement. For many people, it is hard to stop completely when they retire, and buying a franchise can seem like the perfect retirement project.
Is Co-Branding the Right Multi-Unit Franchise Opportunity for You?
Jun 16, 2023 - Blog by Goldstein Law Firm |As a franchisee (or prospective franchisee), purchasing and operating multiple units is one of the keys to increasing your profitability. Most franchises offer a restricted suite of products or services from a single retail location, and their revenue potential is limited as a result. Operating multiple units expands this potential, and, as a result, it is an option that many franchisees (and prospective franchisees) will find themselves considering.
The “Dos” and “Don’ts” of Franchise Arbitration for Franchisees
May 31, 2023 - Blog by Goldstein Law Firm |For franchisees, pursuing franchise arbitration can often be the best (and only) option for resolving contentious disputes with their franchisors. Not only is arbitration generally less costly and time-consuming than litigation, but franchise agreements frequently include “mandatory arbitration” clauses that prevent franchisees from asserting their legal rights in court.
10 Tips for Preparing to Arbitrate a Dispute with Your Franchisor
May 24, 2023 - Blog by Goldstein Law Firm |Arbitration is an alternative dispute resolution (ADR) process that is designed to be neutral while also being less expensive and less time-consuming than litigation. While the arbitration process achieves these goals in most cases, it is important to put the neutrality, cost and duration of arbitration into context. While the arbitration process is facially neutral, franchisors can (and do) take steps to sway the process in their favor. Additionally, while arbitrating a dispute may be less costly and less time-consuming than going to court, franchisees still must often think carefully about whether it is truly worth moving forward.