Don't consider it. Use an accountant!
You might feel you have all the knowledge that you could possibly need but this is your money and how well you understand your finances is inevitably the difference between failure and success. We explain why you should seek professional assistance when dealing with sums and figures.
I can clearly understand the facts and figures
If you're lucky enough to have some business experience, you may be able to read profit and loss accounts. More importantly how much knowledge have you got in this specific industry? Don't wait to find out, hire a franchise-trained accountant.
My franchisor supplied me with all the information I need to be successful
Franchisors may provide figures, but these will almost certainly be based on existing franchisees - there is no guarantee that you will achieve similar results. You need to know what those figures mean to your business and how it will effect your operation. Doubting yourself? Use an accountant.
If my finances weren't perfect; no bank would lend to me
A bank lends you money with the intention that you will be very successful. They will also help you along the way. However, all banks will need to reduce their risk, just in case failure becomes a horrid inevitability. More often than not, they will want a guarantee. So where does the risk lay? With you. Use an accountant.
What could an accountant tell me about my business that I don't already know?
They will be able to analyse your finances with the information your franchisor has supplied you with. They will tell you what you can and can't expect and how to measure your progress. An accountant can relate any of these to your personally borrowings such as cash flow, personal expenditure and taxes. Use an accountant.
I don't need to spend more on an accountant; all other franchisees are doing well
As eight out of 10 new franchises make it past the first two years, it's no surprise that many other franchisees are doing well. Does this guarantee your success then? No, your situation is completely unique. Your location is perhaps an entirely new one - unless you've bought a previously existing business at resale. Are the costs comparable? Have there been any changes to the market? Unsure? Use an accountant.
I want to run a successful franchise and I don't really care what anyone else has to say If your not willing to listen then you're either a master at business or you need to re-evaluate why you're going into business. You should be collating all the available information you receive from your own research, the franchisor and any other legal advice. YouÕre less likely to fail due to an abundance of information, however, less can be said for a lack of it. By now you know how this goes - use an accountant!