In the international franchising arena, distance, language and cultural differences make it imperative to select the right local business representative. A good fit between your first franchisee and the market will create positive brand associations—and optimize growth potential. In contrast, choosing the wrong representative in a market can damage brand reputation and development.

Additionally, U.S. franchisors entering international markets must take care to comply with anti-terrorism laws, sanction programs and the Foreign Corrupt Practices Act.

When undertaking overseas franchising, the cost of due diligence is negligible compared with the time, energy and expense of dealing with legal issues or trying to repair your brand. The following article lays out steps franchisors can take to avoid problems related to international franchisee selection. Read more…