Philip L. Chapman, Esq.
|
|
|
|
|
 | selecting the form of business organization-limiting liability |
| selecting a lawyer competent, not only in franchising, but also in corporate, commercial and real estate law |
| identifying the respective due diligence activities for the proposed franchisee and the lawyer |
| selecting an accountant to assist in the reparation of cash flow projections, preferably prior to signing the Franchise Agreement |
| deciding on whether to have compilation or review financial statements |
| use of payroll services-dangers of non-compliance with technical requirements |
| shopping around for insurance coverage, rather than blindly using the insurance agent recommended by the Franchisor |
| refund of Franchises Fee or portion thereof before commencement of operations under certain circumstances |
| the "Territory" and scope of protection for the Franchisee |
| length of initial term |
| right of renewal and conditions thereon |
| conditions to right of Franchisee to sell the business with the Franchise or to sell a portion of the ownership |
| effect of death or disability of the principal of the Franchisee |
| limitation of the liability of the principals(s) on the personal guaranty required by the Franchisor |
| limits, if any, on discretion of Franchisor to refuse to grant consents or approvals |
| restrictions on competitive activities of the Franchisee of its Principal(s) after termination |
| the precise language of the use clause |
| length of initial term and synchronization with the initial term of the Franchise |
| Tenant's option to renew |
| security deposit; amount and form |
| possible limit to the amount of the personal guaranty |
| right of Tenant to assignee the lease if it sells its business |
| limits, if any, on discretion of Landlord to refuse to grant consents or approvals |
| Tenant's signs |
| subordination of Landlord's right of restraint to lien of a bank providing financing for the business |
|
|
