Frequently Asked Questions

23. I'm buying an existing business which happens to be a franchise. Is there anything special I need to consider?

You should obtain a copy of the franchise agreement and review it carefully. You should also determine if you'll be required to pay the entire franchise fee, transfer fee, royalty fees, or advertising fees. In most cases, the franchise will have to approve the transfer or sale of the franchise. If you are seeking SBA financing, it is important to determine if the franchise is one which is eligible for SBA financing.

For more information, visit the SBA franchise registry.

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The Arkansas Small Business Development Center is funded in part through a cooperative agreement with the U.S. Small Business Administration through a partnership with the University of Arkansas at Little Rock College of Business and other institutions of higher education. All opinions, conclusions or recommendations expressed are those of the author(s) and do not necessarily reflect the views of the SBA. It is the goal of UALR to eliminate discriminatory harassment and to promote equal opportunity regardless of race, gender, color, national origin, sexual orientation, age, religion, veteran’s status, or disability.