Business services franchises – including franchises that provide marketing, shipping, tax, consulting, cleaning and other essential solutions to small businesses – make up a significant portion of today’s franchise economy. All businesses need help to grow, and franchisees who adeptly and cost-effectively serve their clients’ needs can often establish long-term relationships that serve as the foundation of a long and successful franchise venture.

If only it were as easy as it sounds. While the business-to-business market is huge, there is also a lot of competition, and as a result choosing a business services franchise requires in-depth analysis of a number of different factors. What competing businesses are nearby? How big of a territory does the franchisor offer? These are just two of the numerous questions that prospective franchisees need to answer in order to make an informed decision about buying into a business services franchise opportunity.

Types of Business Services Franchises

Business services franchises come in a variety of forms. While many are brick-and-mortar storefront businesses, others offer work-from-home opportunities with relatively modest initial investments. Some of the most common types of business-to-business franchise offerings include:

  • Consulting – Including business coaching, general business consulting and franchise consulting.
  • Logistics – Including printing, copying, shipping, mail and storage.
  • Marketing – Including a variety of advertising franchise opportunities.
  • Professional Services – Including tax preparation and business accounting.
  • Non-Core Services – Including information technology (IT), staffing and cleaning services.

Business Services Franchise Opportunities

A random perusal of business services franchises identified online brings up the following:

  • Cartridge World – A Top 100 franchise opportunity that provides ink, toner, cartridges and other printing supplies to businesses.
  • Liberty Tax Services – A well-known tax preparation franchise offering services to a wide range of businesses nationwide.
  • Sandler Training – Another well-known brand, Sandler Training provides sales and management training to all types of businesses.
  • The UPS Store – A shipping and logistics franchise with more than 4,400 locations throughout the United States.
  • Transworld Business Advisors – A B2B provider that touts itself as “a world leader in marketing and sales of businesses and franchises.”

Evaluating Business Services Franchise Opportunities: Dos and Don’ts

So, if you want to buy a franchise and think a business services franchise may be a good option for you, how do you make the decision to move forward?

DO: Ask Lots of Questions.

Now is the time to ask questions. Talk to the franchisor’s representatives. Talk to current and former franchisees. Talk to other business owners in the area where you plan to open. Learn as much as you can about the franchise opportunity and the local market in general.

DON’T: Rely Exclusively on What the Franchisor Tells You.

Notice that we said you should talk to lots of people besides the franchisor’s representatives. Unfortunately, these individuals often will not tell you the whole story, as they may be incentivized to get you to sign on the dotted line.

DO: Perform Thorough Due Diligence.

Along with asking questions, all prospective franchisees need to conduct thorough due diligence. Buying a franchise is a long-term investment, and you need to treat it accordingly.

DON’T: Sign the Franchise Agreement Until You are Ready.

Franchisees often have very limited time (if any) to get up and running before royalty fees and marketing fund contributions start coming due to the franchisor. As a result, it is critical to make sure your financing is in order and that you have addressed as many other contingencies as possible before you sign your franchise agreement.

DO: Hire an Attorney to Review the Franchise Disclosure Document (FDD) and Franchise Agreement.

Finally, in order to make sure you understand your legal obligations and to protect yourself as much as possible, you should have the Franchise Disclosure Document (FDD) and franchise agreement reviewed by an experienced franchise law attorney. Depending upon the terms of the agreement and your particular circumstances, you may choose to have your attorney negotiate the agreement as well.

Considering a Business Services Franchise? Contact the Goldstein Law Firm

At the Goldstein Law Firm, we offer flat-rate franchise agreement reviews for individuals considering business services franchise opportunities nationwide. To learn more about the risks involved in buying a franchise, and to get help evaluating your chosen franchise opportunity, speak to a franchisee lawyer at (202) 293-3947 or request a free consultation online today.

Disclaimer: The identification of any franchise or company on this website is not an endorsement of any aspect of that entity in any regard, nor should it be taken as one.

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