Franchises

How long must you be in business to start a franchise?

min read
Opinions expressed by Entrepreneur contributors are their own.
There are no legal requirements related to how long you must be in business prior to starting a franchise; in fact, sometimes franchise companies start without any prior operating experience at all.

The reason for having prior operations is that it gives the startup franchise credibility in the eyes of the potential franchise buyers. Whether you've been in business for three months or 10 years, prospects will want to know why they should invest with you and how safe they will be if they do so.

More from Entrepreneur

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

In as little as seven months, the Entrepreneur Authors program will turn your ideas and expertise into a professionally presented book.
Apply Now

One-on-one online sessions with our experts can help you start a business, grow your business, build your brand, fundraise and more.
Book Your Session

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.