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A great franchisor discussing business goals and supporting franchisees

If you’re a newcomer considering franchising in Canada, you may be wondering: how do I identify a great franchisor? You may already be researching the franchise brand, including the quality of the product or service. That research is critical. But, have you done in-depth research of the franchisor? You have to assess the franchisor to make sure that you select a great franchisor. So, here are three key signs to assess that identify a great franchisor.



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Three Key Signs that Identify a Great Franchisor

Franchisors are selective about who they choose to represent their brand. And, you should be selective too. If you’re exploring franchise opportunities, you likely know that the franchise model can be very successful. And, that business success will grow when the franchisor demonstrates:

  • Strong leadership and vision
  • Positive relationships with their franchisees
  • Support for their franchisees

1. Leadership and Vision

The franchise leadership team sets the vision for the business and how they plan to accomplish their goals. So, you want to understand their vision for the franchise.

To identify a great franchisor, you want to know:

  • Do the leaders have a clear vision for the company and the brand?
  • Who are the leaders and what role do they play in the company?
  • Do they have relevant skills and experience to contribute to the company’s success?
  • Does their leadership style inspire you to follow their lead?
  • Do they demonstrate passion for the company and the brand?
  • Do they lead with values that are similar to your values?
  • Do they have a clear understanding of the marketplace and industry trends?

And, when you know the answers to these questions, you’ll have confidence in their leadership ability.


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2. Positive Relationships with their Franchisees

The Franchise Agreement lays out the role of the franchisor and the franchisee, but it’s important to understand if thy get along. A great franchisor will have a positive relationship that is built on trust and open communication with their franchisees. This will also lead to greater business success for both the franchisor and franchisees.

And, to learn more about the relationship, it’s essential that you speak to current and former franchisees in the system. This will give you information about their experience with the franchisor and the quality of the relationship.

To identify a great franchisor, you want to know:

  • Do franchisees have good things to say about their relationship with the franchisor?
  • Does the franchisor ask for input from their franchisees related to marketing strategies, new products or services, or other operations issues?
  • Does the franchisor listen to franchisees and value their input?
  • Does the franchisor have a Franchise Advisory Committee or Association that is made up of franchisees and management?
  • How does the franchisor resolve disputes with franchisees?

The Franchise Disclosure Document provides the names of both current and former franchisees in the system. So, speak to as many franchisees as you can to get a balanced picture of what the relationship is like. 

When you speak to franchisees, you can gain their insight about their franchising journey. So, be prepared to ask any questions that you have, and listen to what they have to say.

Based on their feedback, you can decide if this is the type of relationship that will meet your needs.

3. Support for their Franchisees

Based on your self-awareness, interests, and skills and knowledge, you know what you have to offer the franchisor. You know your strengths, and you also know where you may need more support.

For example, if you have strong marketing skills you may need less support in this area. But, you may require more finance support. In other words, a great franchisor provides the specific support that you require. 


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To identify a great franchisor, you want to know:

  • How much initial training and support does the franchisor provide?
  • What does that training cover?
  • What is the quality of their training tools and resources?
  • What marketing and advertising support do they provide?
  • What additional support does the franchisor provide?


Franchisors like to hear that you know about the product or service that they offer. And, they’ll also be impressed when you can show them that you understand their:

  • leadership and vision for the franchise
  • relationship with their franchisees
  • level of support they provide to franchisees.


By gathering information and speaking to other franchisees, you can collect valuable information to ensure that you identify a great franchisor.

And, if you’re a newcomer exploring franchising in Canada, we want to help you make an informed decision. So, be sure to visit our Franchising for New Canadians Learning Center for more:

  • Tools
  • Resources
  • Information