Working closely with your corporate attorney in Minneapolis is the only way that you can fully understand a franchise agreement, whether from the point of the franchisor or the franchisee. Agreements may contain several hundred pages with every word relevant to the way that the operation must be balanced between the licensor and licensee.
Understanding the Headings
Many franchisees will understand most contract headings and the general idea of what is contained in each section. Problems may exist because of some of the technicalities within the franchise agreement that will affect how your business is managed and operated.
Your corporate attorney in Minneapolis will be able to explain the legal language in layman’s terms. While you will be running the business as your own, the rights and the technology will still belong to the franchisor. What you do with those rights will be tightly defined within the agreement, and it is important to understand all the details so that you do not step outside of the agreement by mistake as this will be detrimental to the ongoing relationship between you and the franchisor.
When discussing products, trademarks and business format franchising, your corporate attorney in Minneapolis will be able to explain how a franchisor can present their product or service in an efficient manner. This is extremely important when you’re taking your first steps into offering your business as a franchise. Although you will be able to update your franchise agreement at a later stage, your attorney will be able to show you how to plan through the initial contract agreement stage.
The key to success is working with a law firm that understands your specific requirements. If this is your first step into offering your business to franchisees or purchasing your first franchise, you may not be able to afford the rates from the larger law firms, but still, require the big firm experience.
Finding a law firm that meets all your criteria is important if you are to build a long-term relationship and remain in control of your expenses.
