Recruiting franchisees: how to choose your first partners

An established business starting to build a franchise network needs more than interested candidates: above all, it needs the right partners. Capital alone is not enough. Management style, attitudes towards standards and willingness to handle day-to-day operations all matter. A structured recruitment process helps prevent the pressure to sign the first agreement from overshadowing risks already apparent during discussions.

1. Define the partner’s role before advertising the opportunity

Start by establishing what running an outlet actually requires. Do not simply turn your own CV into the candidate profile. Founders often combine responsibilities that a future partner will share with a manager, staff and head office. Assess the requirements of the specific role, rather than looking for someone like yourself.

Prepare a one-page profile covering:

• operational involvement: presence at the outlet, staff management and customer contact;
• skills needed from the outset: for example, work planning and an understanding of cash flow;
• skills that can be taught: using systems or following standards for presenting products and services;
• resources: funds for the launch and for running the business until it becomes financially stable;
• approach to working together: following standards, reporting problems and accepting feedback.

Separate essential requirements from desirable qualities. If you require the partner to run the outlet personally, a candidate seeking a purely passive investment does not fit the model, however large their budget. Also set out the support you will provide: do not demand self-sufficiency in areas where you promise training and assistance.

2. Build a process with clear decision points

In a small business, the owner often handles recruitment. Even so, it is worth setting a sequence of steps so that liking a candidate does not take the place of assessing them. Each stage should answer a different question and end with a documented decision.

An initial interview checks expectations, availability and whether the candidate meets the basic requirements. A competency-based interview explores specific past experience. A scenario-based exercise reveals how they think, while financial and operational checks help assess whether their plan is viable. Only then should you move on to finalising the contractual terms.

Use the same set of core questions for every candidate. Rather than asking, ‘Are you good at managing people?’, ask them to describe a situation in which they had to resolve a conflict within a team. Ask follow-up questions about their actions, the outcome and what they learnt. Distinguish between a claim and an example that can be explored or verified.

After each meeting, record the evidence supporting your assessment, any unresolved issues and the next step. If possible, conduct the final interview alongside the person who will be responsible for supporting the partner. They will be working with them after the agreement is signed.

3. Test operational judgement and financial resilience

A recruitment exercise should resemble a real problem without amounting to unpaid work for the business. You could present a fictional staff rota, an employee absence and a customer complaint. Ask the candidate to explain the order in which they would act and when they would contact head office.

Do not assess their knowledge of procedures you have not yet shared. Look for accountability, the ability to prioritise and an awareness of limitations. A good partner does not need to know every answer, but should recognise when they need help.

When discussing finances, distinguish between investment funds, an operating reserve and the money needed to cover household living costs. Ask about funding sources, financial commitments and plans for slower-than-expected sales growth. Do not set a blanket reserve requirement without reference to your own business model.

Using the assumptions you provide, ask the candidate to explain what they would do if revenue were lower than expected or the opening were delayed. The aim is not to secure a promise of success, but to check whether they understand the risks of running an independent business. Request only financial documents proportionate to that purpose, and protect them against unauthorised access.

4. Carry out checks in line with Polish law

Poland has no separate franchise act or dedicated state register of franchise networks. A franchise agreement remains an ‘unnamed contract’ — a contract type not specifically regulated in its own right — based on Article 353¹ of the Polish Civil Code. Freedom of contract is limited by legislation, the nature of the legal relationship and the principles of social coexistence. Descriptions of proposed regulations, including any proposed deadline for providing documents, should not be treated as current law.

The Civil Code’s provisions on negotiations also matter for recruitment, including the requirement to conduct them in accordance with good practice. Do not present the results of your own outlet as a guarantee of a partner’s future income. Base confidentiality discussions on clear arrangements and the rules protecting trade secrets.

Process candidates’ personal data in accordance with the GDPR: define the purpose, legal basis, scope of the data and retention period, and fulfil your obligation to provide privacy information. The fact that an entry in CEIDG, Poland’s register of sole traders, or KRS, the National Court Register, is public does not mean that personal data can be freely reused. Check references in an agreed, transparent way; do not collect information unrelated to assessing the prospective business relationship.

5. Decide when to say ‘no’

Before recruitment begins, define the grounds for stopping discussions: inconsistent information about funding, disregard for standards, an expectation of guaranteed profit or a lack of the required involvement. Distinguish between gaps that can be addressed and problems that undermine trust.

Base the final decision on a standard assessment form, not on the number of meetings held. The candidate should also have room to ask questions and obtain an independent review of the agreement. Good recruitment protects both sides of the future franchise relationship.

Practical takeaway: before accepting your first partner, prepare a role profile, a set of questions, a scenario-based exercise and criteria for rejecting candidates. It is better to extend recruitment than to start working with someone unsuited to the day-to-day demands.