Before buying a franchise in Mexico, check its insurance cover, exclusions and excesses. Establish who arranges cover, who receives claim payments and what happens if you have to close.
Assess whether the contract term gives you enough time to recoup your investment and align your lease, borrowing and operations without relying on renewal.
If you earn revenue in Mexican pesos but pay in US dollars, your investment costs can change. Check payment currencies, exchange rates and bank charges before buying.
Before signing, check that the agreement, annexes and manuals form a complete document pack. Avoid open-ended obligations and keep evidence of what was agreed.
Check contractual penalties before buying a franchise: what triggers them, how they are calculated, time allowed to remedy breaches and whether charges can accumulate.
Before buying a franchise, agree on deadlines, responsibilities and what happens if opening is delayed. Avoid paying for an outlet that is not yet trading.
Decide how much you can afford to lose and review personal guarantees before buying a franchise in Mexico, without jeopardising your family’s financial stability.
Before buying an operating franchise, check exactly what you are acquiring, what debts exist and whether you can continue using the brand and premises.
Before buying a franchise with business partners, agree on contributions, decision-making and responsibilities to avoid deadlock and protect your investment.
Compare sectors before choosing a brand: assess demand, operational complexity, regulation and the risks you can take on when buying a franchise in Mexico.
Before sharing data or receiving manuals, check what the confidentiality agreement protects and whether it allows you to assess the franchise with your advisers.
Buying a franchise does not automatically give you the right to grant sub-franchises. Check the permissions, obligations and costs before committing your investment.
Before buying a franchise in Mexico, establish what support you will receive, how much it will cost and how problems affecting your operations will be handled.
Before signing, check which business is offering you the franchise, who has authority to represent it and who will be responsible for meeting its obligations.
Before buying, check how you can renew the franchise: deadlines, requirements, fees and contract changes that could affect your ability to keep trading.
Before buying a franchise in Mexico, check how to raise claims for breach of contract, where disputes will be resolved and how much enforcing your rights could cost.
Before paying a reservation fee, establish what you are reserving, when your money will be refunded and which conditions must be met before proceeding.
Before buying a franchise in Mexico, check how advertising fund contributions are charged, managed and reported, and what promotional support your outlet will receive.