Buying a franchise is a decision that requires the same business planning and due diligence as buying an existing business.

Here are some basic steps you can perform to help you evaluate a franchise  opportunity:

• Study the disclosure document and proposed contracts carefully.
• Make sure all promises made by the franchisor or its representative are in writing.
• Talk with other franchisees, including those that have left the system. Find out what their experience has been.
• Get a copy of one of the many checklists that are available for potential franchisees and answer all the relevant questions.
• Investigate all earnings claims.  All earnings claims should be in writing.
• Comparison shop other similar franchises or business opportunities.
• Resist pressure to purchase before you have conducted a thorough investigation.  Sales tactics that should signal caution include:
• "the price might go up soon"
• "we have another buyer but I really like you better"
• "easy money"
• Check the franchisor out with its local Chamber of Commerce, Better  Business Bureau, the International Franchise Association, Dun & Bradstreet, industry or trade associations and franchise-related publications.
• Consult and attorney and other professional advisors with franchise experience before making a binding commitment.