TABLE OF CONTENTS
Chapter 1 2
Objectives of the Franchise Sales Training Program 2
The Franchise Marketing Plan 2
The Franchise Sales Program 2
Program Agenda 4
Using This Manual 9
Chapter 2 10
Overview
10 Elements of a Successful Franchise 10
Why People Buy a Franchise 12
The Current Competitive Situation 13
What You Need to know to Sell Franchises Successfully 13
Chapter 3 14
Chapter Objective 14
Franchising is a Highly Regulated Industry 16
Documents Used in the
Definitions and Forms of Franchising 17
Overview: Brief Legal History of Franchising 19
Federal Regulation – The FTC Rule 21
State Regulations 30
Salesperson Disclosure Form 52
Documents and Procedures 54
The Offering Circular 54
The Franchise Agreement 58
Chapter 4 78
The Franchise Legal Compliance System 78
Overview of a Basic Compliance Program 79
“Offer To Sell” Compliance 80
State Filing Requirements for Franchise
Advertising Materials 84
Seven to Franchise Compliance 86
Compliance Officer Checklist 95
Implementing Your Compliance System 100
Chapter 5 102
Setting Up a Franchise Sales System 102
Overview of the Sales Process 103
Personnel Considerations 106
Options for Selling Franchises 107
Advantages and Disadvantages of Common Sales Method 108
Selecting a Franchise Salesperson 110
Lead Tracking 112
Chapter 6 117
Preparing Your Organization for Selling Franchises 117
Franchisor Image and its Importance to Franchise Sales 118
Integrating Your Marketing Materials into the Franchise
Sales Process 123
Integrating Your Operations Manual into the Franchise
Sales Process 128
Chapter 7 138
Introduction to Franchise Sales Techniques 138
Franchisee Selectivity 140
Dealing with the Buyer 153
10 Common Objectives to the Franchise
Chapter 8 169
Preparing Your Franchise Sales Presentation 169
Introduction to the Sales Presentation 170
Chapter 9 179
The Sales Process 179
The Initial Inquiry 181
Chapter 10 190
The First Contact 190
Starting the Qualifying Process 192
Handling Objections: Starting the Process 197
Using the Franchise Evaluation Form 199
“Painting” the Candidate into the Franchisee Scene 202
Scheduling the First Face-to-Face Meeting 204
Scenarios for the First Contact 206
Chapter 11 208
The First Prospect Meeting 208
Preparing for the Meeting 209
Conducting the Meeting 211
Presentation of Legal Documents 213
Chapter 12 223
Making the Most of the Ten-Day Waiting Period 223
Verifying Information on the Prospects Application 224
Rating the Candidate 227
Managing the Prospect During the Ten-Day
Waiting Period 228
Chapter 13 231
The Closing Meeting 231
Scheduling the Closing Meeting 232
Planning and Following a Meeting Agenda 236
What to do After Closing the
Chapter 14 242
After the
Welcoming the New Franchisee 243
The Psyche of the New Franchisee 246
Stages in Franchise Development 248
Handling Site Selection 254
Chapter 15 259
Selling at Special Events 259
Trade Shows 260
The Franchise Sales Seminar 272
Open Houses 277
Discovery Days 281
Chapter 16 283
Conclusion 283
Troubleshooting Checklist 286
Chapter 17 292
Assisting Franchisees with Financing 292
Options for Debt Transactions 294
Options for Equity Transactions 301