Closing the deal: Discovery Day & beyond

Hey folks,

Final part of my franchise-buying series. This week: discovery day, prep work, and signing the agreement.

Missed the first two parts? 

→ Part 1: How to get ready
→ Part 2: How to vet a franchise

Let's finish this.

By this point you’ve:

• built a shortlist

• read the FDDs

• had those essential fact-finding conversations with franchisees.

If you haven’t found a business that ticks enough of your boxes, keep at it. But when you’re ready to move forward, here’s what it looks like.

1. Register for discovery day

Discovery day is the final stage of the franchise buying process.

Some brands call it "confirmation day" or "meet the team day." Whatever they call it, it's the same thing: you fly out to meet the franchisor in person.

You see their headquarters, meet the executive team, and get a feel for the culture.

But here's what discovery day is not: a sales pitch.

By the time you're invited to discovery day, both sides have already done their homework. The franchisor has vetted you. You've vetted them. You've read the FDD. You've talked to franchisees.

Discovery day is where the franchisor decides if they want you as a franchisee. And you decide if you want to move forward.

You should be down to one brand at this point. Maybe two. This is where you make your final decision.

But don't just show up unprepared. That's a mistake. Next is what to do ahead of time.

2. Do the boring work before you go

Before you register for discovery day, you need four things locked down:

• Validation is complete

You've talked to enough franchisees that your questions are answered. You know what you're walking into.

• Territory is locked

You know which territories you're buying and how many units you're pursuing. No ambiguity.

• Attorney is reviewing your franchise agreement

You've retained a franchise attorney. They have a draft of the agreement. They're making progress on it.

Don't wait until after discovery day to do this. You'll come back excited and want to move fast. Do the boring stuff now.

• Funding is lined up

If you're using an SBA loan, get pre-approved. If you're using ROBS, have the structure in place. If you're paying cash, make sure it's liquid and ready.

You also need the money for the franchise fee itself. That's what you'll pay when you sign the agreement.

When you have these four things handled, you can walk into discovery day confident and ready to move.

3. Sign the franchise agreement

If discovery day goes well, the franchisor awards you a franchise.

That's when you sign the franchise agreement and pay the franchise fee.

This is the culmination of everything you've done: defining your why, figuring out your capital, filtering options, reading the FDD, talking to franchisees, and prepping for discovery day.

It's a big moment. But remember: this is the starting line, not the finish line.

After you sign, the franchisor will walk you through their onboarding process. They'll train you. They'll help you get set up. They'll outline the timeline between signing and opening for business.

That timeline varies by brand. Some franchises you can launch in 60 days. Others take 6–12 months if you're building out a physical location.

But in terms of the franchise buying process? You're done.

Congratulations.

Wrapping up

That's the 10-step process. Here's the full picture:

Prep

1. Define your “why”

2. Line up your capital

3. Filter your options

Diligence

4. Build a short list

5. Read the FDD

6. Talk to franchisees

7. Evaluate fit

Finish line

8. Final prep work

9. Register for discovery day

10. Sign the agreement

It might seem like a lot. It’s one of the biggest investments you’ll ever make.

But you don’t have to do this alone.

That’s why consultants like me exist. Think of me like a real estate agent, but for franchises. 

I’ve been through the process a ton of times, know the ins and outs, the red and green flags, the things to watch for. Plus, like a real estate agent, you don’t have to pay me a dime.

What I’ll never do is convince you to buy a franchise. Only you can make that decision. (More on my process here.)

If you’re keen to buy, feel free to book a strategy call with me here. 

Either way, you now have the roadmap.

Connor

P.S. If you missed the first two parts of this series: Part 1 covered readiness and filtering. Part 2 covered due diligence and validation. Start there if you're just jumping in.

Ready for the next step? Here are 3 ways I can help you: