Buying a Franchise: What You Need to Know Before You Buy

Andy and Jessica welcome you to another episode of The Deal Board Podcast. This week, you’ll hear from two franchisee favorites, Hollie Choe and Jennifer Fox, in their conversation on all things franchising. They start by breaking down the definition of a franchise, what makes it an excellent model, and why buying a franchise is such a popular path for entrepreneurs. Discover everything you need to know to get started, like how to choose the right franchise, the costs associated with buying a franchise, and the legal considerations you need to take into account. To end, Hollie and Jennifer discuss key pitfalls to watch out for, what they wish they had done differently when purchasing their franchises, and why they love being part of a franchise. Tune in now to learn everything you need to know about buying franchising from Hollie and Jennifer!

Listing of the Week:

Jonathan Cheung (North San Gabriel Valley, Beach Cities, and Torrance) and his business partner, Calvin Tampubolon, have Code Ninjas franchises on offer. As the world’s largest STEM for kids franchise, Code Ninjas boasts over 300 locations across the US, Canada, and the UK. Franchisees manage physical centers in retail spaces and can expand by providing classes at schools and community centers. With its strong business model and mission-driven purpose, Code Ninjas presents a unique opportunity for aspiring owners. Jonathan and Calvin will soon list two additional franchises in Los Angeles County. For more information, call Jonathan at (626) 864-3369 or email him at jcheung@tworld.com.

Deal of the Week: Jonathan Cheung (North San Gabriel Valley, Beach Cities, and Torrance) and his business partner Calvin Tampubolon, recently helped a fellow Code Ninjas franchisee secure a purchase agreement for two centers in LA County. Initially, only one center was listed for sale, but within two months, they reached an agreement with a buyer, including the right of first refusal (ROFR) for the second center. During due diligence, the buyer chose to acquire both centers and three weeks later, a final purchase agreement was signed for both. To learn more, call Jonathan at (626) 864-3369 or email him at jcheung@tworld.com.

Key Points From This Episode:

•    [00:23] Introducing today’s guests and topic: Hollie Choe and Jennifer Fox on franchising.

•    [02:02] What to expect from today’s conversation on franchising.

•    [03:03] The definition of a franchise, and why it’s such a good option.

•    [05:07] Jennifer’s experience with Transworld and how franchises support you.

•    [07:34] Key steps for preparing to buy a franchise and essential questions to consider.

•    [10:41] Cost considerations and fees to be aware of when selecting a franchise.

•    [12:08] Why you need to ask how much time you will be putting into your franchise.

•    [13:16] What Hollie and Jennifer would have done differently on their franchise journeys.

•    [15:17] Legal considerations you need to take into account.

•    [17:40] Why being part of a franchise was a great choice for Hollie and Jennifer.

•    [20:13] Listing of the Week: Jonathan Cheung (North San Gabriel Valley, Beach Cities, and Torrance) discusses deals involving Code Ninjas franchises.

•    [21:38] Deal of the Week: Jonathan Cheung (North San Gabriel Valley, Beach Cities, and Torrance) breaks down the sale of two Code Ninja centers by one owner.

Links Mentioned in Today’s Episode:

The Deal Board Podcast 

Subscribe to The Deal Board Podcast YouTube Channel 

The Deal Board on LinkedIn

The Deal Board on Facebook

United Franchise Group 

Transworld Business Advisors 

Transworld on Linkedin 

Transworld on Facebook 

Call us on (888) 719-9098 

Email us at thedealboard@tworld.com 

Exit Factor

Hollie ChoeHollie Choe on LinkedInJennifer FoxJennifer Fox on LinkedIn

Jonathan Cheung

Jonathan Cheung on LinkedIn

Jonathan Cheung Email

Call Jonathan Cheung at (626) 864-3369

Calvin Tampubolon

Calvin Tampubolon on LinkedIn

Call Calvin Tampubolon at (310) 765-1658

Code Ninjas

#thedealboard #transworldbusinessadvisors #tworld #businessbrokerage 

Quotes:

“A franchise is a great option because it has a proven model. There are people that have come before you that have done it and that they have been successful, so they have systems in place to make sure that you can do it right.” — Jennifer Fox [0:03:46]

“What type of business do you want? [Do you want a] service business, do you want a retail business? You really need to understand what you are looking for.” — Jennifer Fox [0:10:11]

“One of our pitfalls was underestimating the cost of the ongoing [operations].” — Hollie Choe [0:13:42]