--- title: "What Does a Franchise Broker Do?" url: https://burnaze.com/article/f32a59a5-ff99-4f77-9c4a-581d8e750b6c source: "1851 Franchise" original_url: https://1851franchise.com/what-does-a-franchise-broker-do-2722491 category: "Suppliers" industry: "Franchise Industry" segment: "Suppliers" published: 2023-06-07T16:11:01.000Z modified: 2026-11-01T02:07:57.968Z image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/db509350c722aec96198e2cc6c36e5eb7215.jpg --- # What Does a Franchise Broker Do? **TL;DR:** Franchise brokers play a key role in the industry by supporting prospective franchisees in finding investment opportunities and driving franchisors' growth. They conduct market and client research to facilitate a strong match between a franchisee and a franchisor. *originally published in 1851 Franchise on 2023-06-07. [Read the original](https://1851franchise.com/what-does-a-franchise-broker-do-2722491).* ## Key facts - Franchise brokers facilitate matches between franchisees and franchisors - Brokers conduct market and client research - Brokers provide support during the franchise agreement process ## Story Franchise brokers are key players in the industry, working to both support prospective franchisees in finding great-fit investment opportunities while driving franchisors’ growth forward in a meaningful way. Depending on the broker’s arrangement, they may work directly with the franchisor or take on individual clients. Either way, the end goal is the same — to facilitate a strong match between a franchisee and a franchisor. ## Market research **Market and Client Research** Data collection is at the heart of franchise brokers’ jobs as it equips them to approach the matching process in an even more informed way. Brokers do multiple types of research. Market research allows the broker to understand the available franchise opportunities in the local area, the history of each brand and the strength of each model. This is important as it informs brokers’ evaluations of the concept and whether they feel confident recommending the opportunity to clients. Market and franchisor-specific data must be juxtaposed with each client’s unique interests, needs, prior experiences and long-term goals. Some important considerations include - the client’s interest in working from home - working in a customer-service-heavy role - making millions of dollars versus simply creating a stable income - being involved in the business or spending more time working on the business - any specific industry preferences and financial constraints Sometimes, brokers will provide a personality test of sorts or questionnaire to collect as much information as possible about the prospective franchisee. After collecting and analyzing this information, the broker can begin to narrow the playing field and present specific franchise opportunities. ## Franchise agreement **Facilitating the Execution of the Franchise Agreement** Once the broker and the client have worked together and chosen a specific opportunity, the broker can continue to serve as a trusted resource for the franchisee as they navigate additional due diligence, talks with the franchisor and other necessary paperwork. This can be especially helpful for newer franchise owners who have less experience with the franchise agreement process. **Industry Connections** ## Industry connections Franchise brokers also bring a wealth of knowledge to the process. Throughout the franchise agreement stage and once the agreement has been signed, the franchise broker can continue to serve as a helpful contact. Many brokers have strong industry connections and can support the franchisee in being successful in their new business. With connections to franchise attorneys, accountants and real estate professionals, brokers can pull from their own contacts to continue supporting the franchisee, even when the franchisee has moved beyond the part of the process that brokers can be directly involved in. ## Working with brokers **Why You Might Look Into Working With a Franchise Broker** With all of their knowledge and connections, brokers truly can serve as an invaluable resource to those seeking their perfect franchise opportunity. Oftentimes, brokers’ services are free; they are paid a percentage of the franchise fee as outlined in other franchise documents. This does not change the cost of the franchise for the prospective franchisee but rather is a commission paid by the franchisor to reward the broker’s identification of a great fit to expand the system. A high-quality broker should also never pressure their clients. As a neutral third party, brokers should genuinely have their clients’ best interests at heart and do well to take the necessary time and consideration to match the client with an opportunity that they are completely comfortable with and confident in. ## Entities - 1851 Franchise (publication) - Franchise Industry (sector) - franchise agreement (topic) - market research (topic) - franchise brokers (topic) - industry connections (topic) --- Originally reported by 1851 Franchise (https://1851franchise.com/what-does-a-franchise-broker-do-2722491). Summarized by Burnaze (https://burnaze.com/article/f32a59a5-ff99-4f77-9c4a-581d8e750b6c).