Buying a Franchise in Colombia: Talking to Franchisees

Before buying a franchise in Colombia, it is worth listening to people who already operate under the brand. The Bogotá Chamber of Commerce includes talking to other franchisees among its recommendations for prospective buyers. With proper preparation, these conversations can reveal what day-to-day life in the franchise network is like and highlight differences between the sales pitch and the reality. They do not replace legal or financial due diligence: they help you decide what needs further checking.

1. Seek varied experiences, not just positive testimonials

Ask the franchisor to arrange conversations with operators willing to share their experiences. Do not limit yourself to the most successful example or a visit organised to promote the brand. Try to hear from people in different situations: a recently opened outlet, an established operation and a business in a location comparable to the one you are considering.

If you can legitimately contact a former franchisee, their perspective may also be useful. Leaving the network does not, in itself, prove that something is wrong. The aim is to understand the circumstances without treating personal allegations as established facts.

Before each interview, record some background information:

• The city and general characteristics of the location.
• How long the outlet has been operating and its business format.
• The owner’s day-to-day involvement.
• The interviewee’s previous business experience.
• Any additional commercial relationship with the franchisor, if they have one and are willing to disclose it.

These differences matter. The experience of someone running several outlets is not directly comparable to that of someone who has opened their first business. Nor can you automatically assume that what works in one city will work in another.

2. Ask about facts and specific situations

Explain that you are considering buying a franchise and ask for a brief conversation at a time that will not disrupt customer service. Seek permission before taking detailed notes or recording. Respect any boundaries relating to confidential information, personal data or internal documents.

Use a consistent set of questions so you can compare responses, but avoid turning the conversation into an interrogation. Useful questions include:

• What turned out differently from what you expected? Ask for an example and when it happened.
• What was the biggest difficulty when you started? Ask how it was resolved and who was involved.
• Which tasks take up most of the owner’s time? Try to understand a normal working week, not just the opening period.
• What happens when an operational problem arises? Ask them to describe a recent example and the process they followed.
• How are franchisees’ suggestions received? Distinguish between having a channel for feedback and getting a useful response.
• Would you choose this brand again? Ask under what conditions and what they would do differently.

Avoid demanding private financial figures or asking for copies of manuals. A refusal to share confidential information is not a sign of deception. You can gain valuable insights into routines, difficulties and communication without accessing business secrets.

3. Separate experiences, opinions and evidence

After each conversation, organise your notes into three columns: what was reported, the context and what still needs checking. Distinguish first-hand experience from comments about another outlet that the interviewee does not know personally.

For example, “the response was slow” is a judgement. “I reported a breakdown, received a response later and had to stop operating” describes a sequence of events that warrants clarification. Even so, it remains one person’s account, not a definitive conclusion about the brand as a whole.

Look for patterns across independent interviews. If several people describe the same difficulty, ask the franchisor how they explain it and what steps they have taken. Give them the opportunity to provide their account and relevant documentation.

Examine positive differences too. A stable operation may depend on an exceptional location, previous experience or resources you will not have. The aim is not to count favourable and unfavourable opinions, but to identify the conditions that would make the business viable in your circumstances.

4. Reflect your findings in the contract, without mistaking them for rights

In Colombia, franchising is classed as an atypical contract: it is not subject to a specific, comprehensive statutory framework. It is governed by the agreed terms and the applicable general provisions of the Commercial Code and Civil Code, including the principles of good faith. As an independent operator, the franchisee runs the business using their own resources.

There is no general legal obligation to provide franchisee contacts for interviews, nor is there a special pre-contractual disclosure period specific to franchising. The document published in 2021 by Colombia’s Ministry of Trade, Industry and Tourism (MinCIT), which proposed a Franchise Offering Circular and a notice period of twenty working days, is a draft and should not be presented as legislation in force.

For this reason, a practice that benefits another franchisee will not necessarily be a right you can claim. If a particular condition is decisive in your purchasing decision, ask for it to be clearly set out in your contractual documents and have it reviewed by a legal adviser. Equally, do not treat an operator’s recommendation as a guarantee of profitability.

Practical conclusion: use the same set of questions to interview people with varied experiences, identify recurring themes and turn each important finding into a specific check before committing your investment.