How a franchise consultant makes money is a fair and common question. Here’s the unvarnished answer:
Franchise consultants are paid a commission by franchisors when a client decides to invest and become a franchisee.
This is similar to how realtors and executive recruiters are compensated when they facilitate win-win transactions that benefit both sides.
Let’s provide more clarity:
You do not pay the franchisor more if you work through a consultant.
There are no hidden fees or charges – no penalty of any type! – if you partner with a consultant like us to help coach you through the investment journey.
Working with us, your total investment is exactly what it’d be if you initiate contact with the franchisor yourself. You never pay a penny more!
There is no incentive for us to recommend one franchisor over another.
Franchisors generally compensate consultants similarly, so financially there is no incentive to favor one brand over another.
More foundational though is our moral obligation to work without bias or conflict of interest. Like your realtor, we work for you, not the seller.
We are bound by our profession’s code of ethics to serve you with “objectivity, independence, truth and honesty.”
The recommendations we make must reflect YOUR goals, interests and capabilities. Anything less would compromise our values, tatter our reputation, put us in legal jeopardy and forfeit our certification and accreditation — no commission is worth that price!
Here’s why franchisors pay us: You!
We produce candidates who are the best of the best!
Our work results in investors who are vetted, educated and best prepared to take on business ownership. In fact, candidates we present are up to 28 times more likely to invest in a franchise than individuals who contact franchisors directly via social media, website or in response to ads. Yes, you read that right, 28x more likely to invest!
With that scale of efficiency and your type of talent, it’s a no-brainer for franchisors to tuck a referral reward into their budgets and compensate us with money they’d otherwise spend on less productive means.
Consultants are paid only if a client signs a franchise agreement.
It may be obvious by now but bears repeating: Consultants are compensated only if their clients sign a franchise agreement. It’s all or nothing!
Regardless, we pour the same time, effort and resources into every client relationship. There’s never an expectation you’ll say “Yes!” to franchising. But there’s always the goal of educating, coaching and helping you figure if franchising is a good fit for you and your family. And if it is, with which franchisors.
Whether or not you invest, you are the ultimate winner!
Your bottom line is this: When partnering with us you pay no fee – absolutely nothing! – to get savvy about franchising and narrow a field of 4,000+ franchise brands to a handful that are best for you.
That’s followed by a rigorous due diligence coaching process to land on your one dream business, plus essential legal, accounting, tax planning and financing resources for a seamless, one-stop investment experience.
Even if you decide not to invest, what you learn and who you meet during this journey will serve you well in future endeavors.
Having launched 1,000+ franchise businesses, we’re ready to help you.
With nearly 20 years of franchising experience, Liftoff! brings smarts and simplicity to your journey, plus invaluable insight and insider knowledge.
Our mission is to have you emerge from our journey:
- Smart about franchising — You will know what it takes to succeed.
- Sure in your decision — Whether it’s a yes or no, there won’t be any second-guessing; you will have done your homework.
- Secure in what you need — We’ll pair you with excellent, franchise-experienced legal, financing, accounting and tax-planning resources to seamlessly sign your deal.
Learn more about us here. And get a peek at the journey we help you navigate here.
Want Help Evaluating Franchise Opportunities?
We can help you identify and invest in the franchise business that is right for you. Our personalized ownership recommendations help you save time, reduce risk and invest confidently – with no fee or hidden costs.
Our process starts with a free 15-minute conversation during which we introduce ourselves, learn about you and give you a sense of how we’d work together. You can then decide if you’d like to proceed.
No obligation, no catch – we invite you to chat when you’re ready. You can schedule easily online for the date and time of your preference.