The relationship between the franchisee and the franchisor can sometimes be delicate. Relationships can quickly start to break down where a franchisee feels like they’ve been misled or unsupported in business operations, and they consider their business is suffering as a result.
Being in this position can be unsettling and difficult. You want to know the best actions to take to protect yourself and your business.
What should you do if you find yourself in this position?
There are steps you can take as a franchisee:
- Always come back to the franchise agreement. This was written to protect your rights as much as those of the franchisor. It can be a useful exercise to remind yourself of the terms and available options to you.
- Look for a way to end the relationship. If things are not working out, it may be in both your best interests to go your separate ways.
- Raise a complaint with the franchisor. If you feel they have breached their contract with you, tell them. This may be because they have let you down in training and support, changed the way they work with you, or are asking you to do things that weren’t in the original agreement. If this doesn’t work, then you may have the option of pursuing legal action.
Franchise law can be complex and intimidating if you’re unfamiliar with documentation and governing regulation. Ensuring you have legal representation can help you to ensure you have the right people and paperwork in place to protect your position as a business owner.
