Questions to ask when Buying a Restaurant Franchise Resale

Texas Restaurant Broker

Customers that are buying a Restaurant Franchise resale do intensive research on the restaurant for sale opportunity but not enough research about the Franchise Brand. The relationship between a Franchisee and Franchisor is a business marriage that can end in success or divorce.

Franchise Brands provide the franchise disclosure document (FDD) to individuals interested in becoming a Franchisee. The FDD is the blueprint on how the working relationship between Franchisee and Franchisor will work.

Franchisors must provide the potential Franchisee with the FDD at least 14 days before it can be signed or any money transferred. It’s a great time to ensure potential restaurant buyers get some critical questions answered.

Dallas Restaurant Broker Dominique Maddox says, “most restaurant buyers only think about the royalty fees, marketing fees, transfer fees, and restaurant upgrades required.

When Buying a Restaurant Franchise for Sale, I think buyers should be focused on researching and asking questions about the Franchisor, Franchise Support Services, and operations.

The Restaurant Broker at EATS Broker provides a list of critical questions that should be answered or considered before buying a restaurant franchise for sale.

-How long has the Franchisor been franchising?

-What is the experience of the Management  Team?

-What is the expansion strategy of the Franchisor?

-What is the Franchisee selection process?

-How long is the term of the Franchise Agreement?

-What does the initial training consist of?

-Does the Franchisor have a preferred food supplier?

-What makes the product unique?

-What is the brand position within the category?

-What is the market demand for the product?

-Have unit sales been decreasing or increasing?

-How many units does the Franchise have open?

The Franchise Disclosure Document (FDD) has some of the answers to these questions above but does not have them all.


To learn more about EATS Broker consulting services or to receive a complimentary restaurant valuation, contact Texas Restaurant Broker Dominique Maddox at 404-993-4448 or by email at [email protected]. Visit our website at