I’m a Franchise Ownership Advisor. Here’s What Makes Me Different.

First off, what is a Franchise Ownership Advisor?

A Franchise Ownership Advisor is an independent professional (me) who is paid directly by the person buying a franchise (you), not by franchisors, to help that buyer decide if franchise ownership is right for them and, if it is, how to research, evaluate and choose a specific franchise.

That means there’s no financial reason for me to steer you toward any brand, or toward buying at all.

I’m Joel Libava, The Franchise King®. I’m a Franchise Ownership Advisor. I came up with the term, and I’ve been doing this work for two decades.

Key Takeaways

A Franchise Ownership Advisor works for you, the buyer, and you pay them.

A franchise broker or franchise consultant works on commission and is paid by the franchisor when you sign.

That one difference changes everything: which franchises you see, what you’re told, and what happens if you decide not to buy.

If someone gets paid directly by a franchisor when you sign a franchise agreement, they are not an advisor. Period.

Who Pays a Franchise Ownership Advisor?

You do. That’s it.

I don’t collect a direct commission when you sign. I don’t collect a direct referral fee. I don’t get a bonus or a fruit basket.

So I get paid the same whether you buy a franchise, buy a different franchise, or decide franchising isn’t for you. In some cases, I’ll even tell you not to buy. That’s the job.

Fact: A franchise consultant/broker is typically paid by the franchisor only when you sign a franchise agreement. These days, those commissions average $30,000 each.

But if the person working with the franchise consultant doesn’t sign the franchise contract and doesn’t pay the franchise fee, the broker doesn’t get paid. No signature, no paycheck.

Franchise Ownership Advisor vs. Franchise Broker vs. Franchise Consultant

*”Consultant” covers a lot of ground. When you’re buying a franchise, a consultant is always in the same commission-paid role as a broker. It’s just a classier term. Use the four questions below and you’ll know for sure.

What a Franchise Ownership Advisor Actually Does

• Helps you figure out whether franchise ownership fits you at all.
• Shows you how to build a search around your goals, your money and your lifestyle.
• Teaches you how to research a franchise: reading the Franchise Disclosure Document (FDD), calling current and former franchisees, and asking the right questions on Discovery Day.
• Evaluates a franchise you’re already considering and tells you the truth about it.
• Sends you to a franchise attorney and a CPA before you sign anything.
• Talks you out of bad deals.

What I don’t do: I don’t sell franchises. I don’t represent franchisors in a selling role. I don’t hand you a shortlist of brands that happen to pay me. I’m not your lawyer or your CPA, and I can’t promise you’ll make money. Nobody honest can.

Why I Left the Other Side

I was a franchise consultant for a 6-7 years. I matched a lot of people with a lot of franchises. Some of those businesses are still around. Some are not. Heck, a lot of them aren’t around. That sucks.

I worked with around 150 franchisors. There are thousands of franchise concepts out there. That’s the problem with the commission model. Franchise buyers only get to see the brands that pay brokers/consultants.

So I took the commission out of the picture. I wanted to work for the person who matters most. You.

Fact: I’m not saying every franchise broker is bad. Some are good. I’m saying the pay structure has a built-in conflict. You should know that going in.

How to Tell If Someone Is a Real Franchise Ownership Advisor

Ask these four questions. Out loud. Before you share any financial information.

1. Do you get paid by any franchisor?
2. Do you get paid if I sign a franchise agreement?
3. How many franchise brands do you represent?
4. What happens to you if I decide not to buy?

A true advisor’s answers: no, no, none, and nothing. Anything else, and you’re talking to a broker. It doesn’t matter what the business card says.

How The Franchise King Makes Money (No Secrets)

You hire me. That’s the main way. I also sell a few paid guides and franchise evaluation reports. This site also carries affiliate links and some sponsored ad placements, and I label them.

Franchise Ownership Advisor FAQ

Is a Franchise Ownership Advisor the same as a franchise consultant?

No. When you’re buying a franchise, “consultant” means someone who is paid a commission by franchisors. An advisor is paid by you and has no tie to any brand (except in my case-where I may have done some marketing for a franchisor in the past–and would disclose that to you).

Do Franchise Ownership Advisors charge a fee?

Yes, the buyer pays. Mine are not free. I’m upfront about that because “free” always comes from somewhere. You can see how to work with me one-on-one here.

Can I use a franchise broker and an advisor at the same time?

Yes. Plenty of buyers do. Use the advisor to check out and help research what the broker shows you. Just remember who is paying whom.

Do I still need a franchise attorney if I have an advisor?

Yes. I’m not a lawyer, and I won’t pretend to be one. Find one in The Franchise Attorney Directory.

Who came up with the term “Franchise Ownership Advisor”?

I did. I use it for one reason: to separate what I do from what franchise brokers and consultants do.

The Bottom Line

A franchise broker works for the franchisor and gets paid when you sign. A Franchise Ownership Advisor works for you and gets paid either way. That’s the whole difference.

If you want someone in your corner with no brand to sell you, that’s me. I’m blunt, ethical, slightly sarcastic, and I’m not hard-sell.

Work with me one-on-one or get an unbiased Franchise Evaluation.

I can help you a lot!