Naperville Franchise Formation Attorney
Confidently take that franchising opportunity knowing that you're getting the best deal.
Get help from a franchise contract lawyer
Buying into a franchise is an excellent opportunity to operate a profitable business with a built-in customer base and brand awareness. However, as a franchisee, you are going to have to pay for considerable fees and make a hefty investment. Before you rush into a deal, you must be aware of your rights and obligations as a franchisee and how rewarding this deal is going to be for you.
Our franchise formation lawyers have more than 12 years of experience helping Naperville and Chicago franchisees to ensure they are getting the best out of their franchise opportunities. In compliance with Illinois franchise law, we ensure your new business venture is well established and that it is all set up for success.
Looking to buy a franchise? We got you covered
If you are planning to buy a franchise, we can review the franchisor’s FDD to ensure you fully understand the business plan, the services offered by the franchisor, and the requirements you will need to follow when operating your business as a franchisee. We can also help you negotiate the terms of your franchise agreement to ensure that you will have the protection you need, and we will make sure you understand how non-compete clauses, territory terms, and other restrictive covenants will apply to you.
As you begin to set up your franchise business, we can help you select the right business entity that will protect you from liability and ensure that your business is taxed correctly. We can work with you to negotiate commercial lease agreements or other business contracts and make sure they will meet your needs,
Our priority is to ensure that those who want to invest on buying a franchise are able to understand the implications of their new business venture, that they maximize their profit, and are protected from any liability.
Our flat fee franchise services include:
- Franchise Contracts: Our franchise lawyer will write, review, or negotiate the terms of the Franchise Disclosure Document (FDD), Franchise Agreement (FA), lease agreements, or any other concerning contracts.
- Due diligence: We will ensure the franchise you want to buy is a sound investment.
- Guidance through franchising: We will support you during the franchising process so you can confidently navigate through your franchise purchase, knowing you are protected, and compliant with Illinois Franchise Law.
Illinois Franchise Law Services for a Flat Fee
We want you to get the most out of that franchising opportunity. Our franchise formation lawyer will help you with the following services
- Review and negotiation of Franchise Disclosure Document
- Review and negotiation of Franchise Agreements
- Explanation of your rights and responsibilities as a franchisee
- Lease Agreements
- Lease of Equipment Agreements
- Employment Agreements
- Purchase and sale agreements
- Draft, review, and negotiation of ancillary contracts or legal documents
Why choose us?
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Flat Fee Franchise Lawyer We understand how taking this franchising opportunity is going to impact your finances. We make it easier for you by setting flat fees for most of our franchise services and telling you the total cost before you hire us.
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We are responsive attorneys Contrary to other franchise law firms, we are in constant communication to inform you about the progress of your franchise matter and just a call away in case you have any questions.
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Strategic services Our franchise attorney will ensure the agreements you enter are aligned to your personal and business goals.
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Long-term results We analyze the possibilities and devise our services so they can address future outcomes.
Meet our franchise contract attorney Danya Shakfeh
Awarded lawyer
For 9 consecutive years, Danya has received the Rising Star badge from Super Lawyers, due to her excellence in her services.
More than 12 years working with franchisees
Danya has helped hundreds of franchisees in Chicago and Oak Brook to successfully buy an existing franchise while being legally protected.
How to hire our DuPage County franchise lawyers
2. Speak with a franchise attorney
We will take the proper amount of time to listen to your concerns and explain your alternatives as a franchisee. You can attend the meeting in person or virtually.
3. Get the help you need
Once you hire the attorney, we will immediately review your franchise contracts and take care of your franchise formation matter.
Franchise Law FAQs
What requirements do I need to fulfill to start a franchise in Illinois?
Regardless of the name two parties assign to their business relationship, the state of Illinois is going to consider it a franchise when the three following elements are present:
- Association with a trademark: The business of the franchisee is substantially associated with the franchisor’s trademark. This includes its trade name, logo, service mark, or other commercial symbol. If customers base their buying decisions on the reputation of the franchisor, this element is satisfied.
- Shared marketing plan: The franchisor provides the franchisee with a roadmap outlining how to execute operational and marketing activities. This element is satisfied whenever the franchisee receives an operating manual, business strategies, or training.
- Fee collecting: Any type of upfront or periodic payment that the franchisor asks in return for their intellectual property.
How does franchising work?
In a franchise, the owner of a profitable business, called franchisor, grants the franchisee the right to do business under his trademark. Typically, the franchisee is going to pay an initial fee and monthly royalties in exchange for having access to the franchisor’s marketing plan and system. Before a potential franchisee accepts to be part of the agreement, the franchisor will have to provide him with a Franchise Disclosure Document, which includes information about the business’s marketing plan and financials. After 14 days, once the franchisee reviews the documents, and both parties decide to move forward with the deal, they sign the franchise agreement, which outlines the rights and obligations of both parties.
How much does it cost to buy a franchise?
The cost of initial franchise fees broadly varies, but typically the lowest startup costs will start from $10,000. Renowned franchises will range between $100,000 and $300,000.
How do I finance my franchise?
You can fund your franchise with an SBA loan, specifically the 7(a) program, which is focused on helping small businesses. You can also opt for a term loan if you have a reputable credit score. Online loans are an option too when you don’t have a clean credit history.
What questions should I ask before entering a franchise?
Buying into a franchise whose performance is not optimal can have a negative impact on your finances. You can prevent making a bad investment by asking the franchisor the following questions before moving forward:
- What is your business experience?
- What is the current number of existing franchises?
- What is the failure rate of the franchisees?
- Are there any pending or past litigation issues?
- What are the financial performance forecasts?
- What will be the total investment required for the franchise?
- How much money can I make?
- Will you finance any of the costs?
- What are the continued financial costs?
Other questions you could research on your own are:
- What is the reputation of the company?
- What is the customers’ and franchisees’ opinion on the franchise?
- Does the company seem well organized?
What does an FDD contain?
Broadly, a Franchise Disclosure Document contains information about
- The history of the company
- The franchisor’s business experience
- Past and current litigation concerns
- Whether the franchisor has gone through bankruptcy
- Initial fees and how are they determined
- Additional fees or payments
- The initial investment and all the required expenditures
- Restriction on the source of products or services
- The franchisee’s role, rights and responsibilities
- Terms of financing
- The extent to which the franchisor will be involved in advertising, training, or any other kind of assistance.
- The use of trademarks
- The use of patents, copyrights, and intellectual property
- The obligation to collaborate with the overall franchise system
- Restrictions on what the franchisee may sell
- The terms in which the agreement can be terminated and renewal clauses
- The amount that must be paid to public persons, such as celebrities, if they are used for advertising purposes.
- Financial performance of the franchise
- Locations and contact information of existing franchises
- Financial statements of the company
- Contracts or any agreements the franchisee will be required to sign
What legal information should I review when considering a franchise?
Before signing a franchise agreement, you should count on the advice of a franchise formation attorney who will guide you on matters concerning:
- The use of trademarks and products of the franchise
- The territory you can operate in
- Your rights and obligations as a franchisee
- The duration of the franchise
- The fees and royalties you will have to cover
- How can you terminate your contract with the franchisor
- How you will receive training or any other guidance
- Any lingering liabilities deriving from the franchise
What kind of businesses does the law firm serve?
Motiva Business Law serves clients from all industries. This includes (but is not limited to):
● Manufacturing
● Technology
● Restaurants and hospitality businesses
● Retail
● Construction
● Services
In what area does the law firm serve?
Motiva Business Law serves clients from all industries. This includes (but is not limited to):
- DuPage County
- Naperville
- Cook County
- Chicago
- Will County
- Elmhurst
- Geneva
- Oak Park
- Hinsdale
- Burr Ridge
- Darien
- Downers Grove
- Lombard
- Willowbrook
- Westchester
- Villa Park
- Addison
- Bensenville
- Elk Grove Village
We count with online and in-person meetings.
Legal
Contact us
(630) 517-5529
©2023 Shakfeh Law LLC
d/b/a Motiva Business Law
From our office in Oak Brook, Illinois we serve businesses throughout the area including but not limited to DuPage County, Cook County, Chicago, Will County, Elmhurst, Geneva, Oak Park, Hinsdale, Burr Ridge, Darien, Downers Grove, Lombard, Willowbrook, Westchester, Villa Park, Addison, Bensenville, and Elk Grove Village.