The United States remains an area of choice for franchising; About 900,000 are already established, bringing in more than $ 850 billion annually. So how to open a franchise in the United States? Is it better to create your franchise or take one? How to choose the territory or type of franchise? Where, when, who, you explain the how of the why.
What type of franchise to choose from in the United States?
Should we open an American, French or other franchise?
Even if the Franco-French franchise is likely to find its public in the United States, a franchise of American brand remains a sure value on the territory.
The choice will depend in part on your franchisor or franchisee status, the franchise agreement you have entered into, and the rights and obligations attached to it.
What kind of franchise open?
The distinction between franchising goods or services does not come to mind in the first place, and yet it is of primary importance. If you opt for a franchise of goods, then understand that opening a franchise that sells products hardly available or importable in the US can prove to be an arduous task. Think about it when you choose the "nationality" of your franchise.
Similarly, to choose what type of goods or services you want to offer, think then of specialties little, bad or not exploited by the Americans. For example, restoration, luxury, bakery or French catering, which are not only guarantees of quality, but also sought-after sectors of the American public.
How to open your franchise in the United States?
What type of visa to open a franchise?
The Visa E2 is the franchise visa par excellence. This visa, known as "Investor Visa", and for a renewable period of 5 years will allow you to create or buy a business in the United States. It is necessary to have "invested a substantial amount" in the said enterprise, to have at least 50% of the shares or shares of the company and to hold a management function there.
Where to set up your franchise in the United States?
At first sight, opening a franchise in the United States may seem an insurmountable difficulty. Indeed, imagine a territory of 9,857,000 km2, populated by 320 million inhabitants who have already opened 28 million businesses ...
Between advertising costs, which differ from one state to another, the United States' more competitive environment, which has attracted more than one (American Dream, as they say), and the diversity of professionals Implanted, and therefore their companies, we no longer know where to head. It is then necessary to be original and innovative, and to develop or take over a concept that will conquer the American population and adapt well where you settle.
The franchise in practice, what does it give?
Being a franchisor, what rights, what obligations?
Franchises are governed by Federal Trade Commission laws at the federal level and then by other laws in certain states. The FTC Rules were amended by a law which entered into force on 1 July 2008, which then comes back to the pre-contractual period of the franchise contract.
According to this law, the franchisor must inform his franchisee, at least 10 days before signing the franchise agreement, of various elements, in a pre-contractual information document called "FDD". This information includes:
The franchisor, his experience, his network, etc.
The franchisee's supply, the state of the market, the entry fees, the links between franchisor and supplier, etc.
The exclusivity zone attributed to the franchisee, the franchisees already present in the network
The terms of renewal of the franchise agreement (a franchise agreement can not be extended, a new one must be concluded).
Being a franchisee, what rights, what obligations?
The franchise agreement must be read very carefully and concluded in full knowledge of the facts. The franchisee is thus obliged, for example, to participate in operations and management, a certain quota of sales, compliance with the standards of the franchised system, the purchase sometimes of certain "secret" ingredients or components necessary for the Quality of the franchise brand, choice of employee.