Finding a Franchise Resale

When searching for a franchise to purchase, many people begin with a question like, “I’m looking for a profitable business where the owner is ready to retire. Can you send me a list of available options?”

While this may sound straightforward, the reality often looks different. When a business is listed for sale, it’s usually because the owner has lost interest and is ready to step away. If it’s a franchise, the existing franchisee has likely already offered it to other local franchisees and the franchisor. So, by the time you hear about it, you’re likely several steps removed:

1. The owner is ready to move on.
2. Other franchisees have declined to take over.
3. The franchisor has also passed on it.

The likelihood that a franchise in this position is still profitable can be slim. Before pursuing a franchise that’s on the market, take time to understand why it’s for sale. This will give you valuable insight—and perhaps a reality check—on the potential of the opportunity.