1851

When it comes to franchising, the decision to invest your time and money to become a franchisee is not one that should be taken lightly. You’re not just buying into a business; you’re entering a long-term partnership that can last for a decade or more.To ensure you’re making an informed decision and aligning yourself with a brand that suits your goals, it’s crucial to understand where a franchise has come from and where it’s headed.<h2>Why Franchise History Matters</h2>Understanding the elements and moments that make up a franchise’s history can help you predict its future. The backstory of a franchise will provide you with insights into its resilience, cultural alignment, growth potential and ability to manage risk.For example, you’ll want to look at the financial history and stability of a franchise to get a better perspective on what you will and won’t be able to accomplish as an owner and operator. It’s important to know whether a franchise brand has developed a consistent track record of success. Although the majority of businesses see an occasional bad year, that doesn’t mean failure is inevitable. But if a brand has performed poorly for a number of years straight, that could be indicative of some underlying issues.“Looking at longer term performance, consistency is an important indicator of real success,” noted<a href="https://www.franchisechatter.com/2021/12/23/lesson-20-why-you-need-to-consider-a-franchises-history/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=uncovering-franchise-histories-importance-and-strategies-2723799" target="_blank" rel="nofollow">&nbsp;Franchise Chatter</a>. “Consistency indicates stability and a franchise that will last. If you want to know where you stand, this is important.”&nbsp;&nbsp;<h2>How to Uncover the Truth</h2>If you want to get to know a franchise’s history, then you’ll have to conduct some thorough research. There are several key roads you can traverse when it comes time to conduct your due diligence:<ul><li>Study the FDD</li></ul>A brand’s Franchise Disclosure Document (FDD) can give you the best look at a brand’s written history. Within the FDD, which you will receive upon expressing interest in becoming a franchisee, you’ll find approximately 200 pages of information that showcase the franchise’s origin story, its historical performance through financial statements, litigation history, growth statistics, and fees and costs. The FDD will be the most useful tool in your research into a brand’s history.<ul><li>Meet with Franchisees</li></ul>Chatting with both past and present franchisees alike can also give you valuable insight into the way a brand operates. Franchisees are the lifeblood of a franchise network and have walked the same path you’re now considering. They can provide you with real-world insights, tell you their long-term success stories, and make you aware of issues or problems that you may not have been privy to beforehand.“Franchisees are also relatively unbiased — there is no financial incentive to lie,” said<a href="https://www.linkedin.com/in/coreyelias/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=uncovering-franchise-histories-importance-and-strategies-2723799" target="_blank" rel="nofollow">&nbsp;Corey Elias,</a> founder of<a href="https://www.francaptain.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=uncovering-franchise-histories-importance-and-strategies-2723799" target="_blank" rel="nofollow">&nbsp;Franchise Captain</a>. “They will tell you how it is: the good, the bad and the ugly.”<ul><li>Scour the World Wide Web</li></ul>One of the best ways to investigate a franchise is through digital research. Go down the rabbit hole and read as many news articles and social media posts as you can. Check Facebook and X (formerly Twitter) for customer and franchisee comments, and YouTube for any reviews or testimonials. Starting with the franchisor’s social media is a great place to begin your online investigation.“Go to the franchisor’s website and search for social media icons,” wrote<a href="https://www.linkedin.com/in/patrick-mcginty/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=uncovering-franchise-histories-importance-and-strategies-2723799" target="_blank" rel="nofollow">&nbsp;Patrick McGinty</a>, the founder of&nbsp;<a href="https://franvue.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=uncovering-franchise-histories-importance-and-strategies-2723799" target="_blank" rel="nofollow">FranVue</a>. “You should find at least two or more icons of the following: Twitter, Facebook, Instagram, LinkedIn and Pinterest. It’s important to research the social media presence of the franchise opportunities you are looking at before making your decision.”This search will not only shed light on the negative and positive factors of the brand but will also highlight any significant events in the franchise’s history, any awards it may have received and its overall journey.<h2>Every Fact Matters</h2>Every bit of research is crucial when making a significant decision like investing in a franchise. Don’t cut corners as that can lead to costly oversights and missed opportunities. Take the time to get to know every aspect of the brand and gather all the information you need to make a well-informed decision.&nbsp; &nbsp;

Uncovering Franchise Histories: Importance and Strategies

1851 Franchise

The best way to understand a franchise’s past is to study the FDD, meet with past and present franchisees, and conduct a thorough digital investigation. 

uncovering-franchise-histories-importance-and-strategies

TruBlue Home Service Ally

Why TruBlue is the Ideal Franchise for Multi-Unit Owners: Scalable Growth With a Purpose

why-trublue-is-the-ideal-franchise-for-multi-unit-owners-scalable-growth-with-a-purpose

Onigilly Japanese Kitchen

Koji Kanematsu Turned a 2,000-Year-Old Japanese Staple Into One of the Most Scalable Restaurant Franchise Models

koji-kanematsu-turned-a-2000-year-old-japanese-staple-into-one-of-the-most-scalable-restaurant-franchise-models

Lindora

Celebrating the Nurse Behind the Mission: How Melinda Endricks Is Powering Lindora’s Growth and Impact Nationwide

celebrating-the-nurse-behind-the-mission-how-melinda-endricks-is-powering-lindoras-growth-and-impact-nationwide

Sola Salons

Sola Salons Targets Chicago for Strategic Franchise Growth

sola-salons-targets-chicago-for-strategic-franchise-growth

Melting Pot

Photo of Melting Pot white chocolate fondue

How Melting Pot Franchisees Drive Year-Round Success Through Strategic Promotions and Local Marketing

melting-pot-franchise-year-round-success

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

DoorDash Expansion Could Reshape Delivery and Operations for Franchise Brands - 1851 Franchise

DoorDash Expansion Could Reshape Delivery and Operations for Franchise Brands

doordash-acquistions-deliveroo-sevenrooms

Crumbl Franchise Investment - TSG Consumer Partners -  1851 Franchise

TSG Consumer Partners Takes Minority Stake in Crumbl, Signaling Franchise Growth Potential

crumbl-franchise-investment-tsg-consumer

Yum Brands Reports Strong Q1 Results with Big Boost from Taco Bell

yum-brands-reports-strong-q1-results-with-big-boost-from-taco-bell

QSR: McDonald’s Gains Momentum With Chicken Innovation, Value Deals and Franchisee Support

mcdonalds-franchise-recovery-chicken-strategy-value-deals-2025

The Future of Franchising: Trends and Predictions for 2025 and Beyond

the-future-of-franchising-trends-and-predictions-for-2025-and-beyond

Layoffs Surge to Pandemic-Era Highs, Opening Doors for Franchise Growth

layoffs-surge-to-pandemic-era-highs-opening-doors-for-franchise-growth

Franchisee spotlight image with Randy and Sandy Craft, Children's Lighthouse logo on blue background

The Crafts’ Successful Journey from New Parents to Children’s Lighthouse Franchisees

the-crafts-successful-journey-from-new-parents-to-childrens-lighthouse-franchisees

District Taco Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-district-tacos-franchise-costs-fees-profit-and-data

Franchisee spotlight image with photo of Robert Trujillo and UWRG logo on blue background

How Robert Trujillo Expanded His Construction Business With UWRG

how-robert-trujillo-expanded-his-construction-business-with-uwrg

Health Care Professional in the Non-Profit Space Brings TruBlue to North Pittsburgh

health-care-professional-in-the-non-profit-space-brings-trublue-to-north-pittsburgh

The Ultimate Guide to Selling Franchises: Building Your Brand’s Growth Machine

ultimate-guide-to-selling-franchises

Uncovering Franchise Histories: Importance and Strategies

MORE STORIES LIKE THIS