The Emerging Franchisor Retainer Program

The franchisor services legal team at Franchise.Law understands that a company might be reluctant to expand its operations through franchising because of the fees associated with that process. To accommodate a growing franchisor’s budget concerns, we have launched the retainer program for emerging franchisors, which covers ongoing legal work after the franchise system is initially launched.

Franchisors that qualify for this program with our law firm will pay a flat monthly fee for franchise-related legal services. We maintain our law license in North Carolina, but work with franchisors across the country that are subject to federal and multi-state franchise rules and regulations.

Which Franchisors Might Be Eligible for the Retainer Program?

Estimates for the legal fees that a startup or small franchisor might pay can range anywhere from $15,000 to $100,000. Once the initial Franchise Disclosure Document (FDD) is issued, our retainer program is designed for the high-volume, ongoing support needed for growth. This allows an emerging or growing franchisor to budget for predictable payments rather than facing a single large invoice for services.

Emerging franchisors are typically at the early stages of expansion, often operating for five years or less and with fewer than 100 franchise locations. Our flat monthly fee is strategically tied to your growth, increasing only when you move into a higher tier of signed Franchise Agreements. This fee structure is our investment in your long-term success. Franchisors should contact Franchise.Law to verify if a retainer program is the best strategy for their legal representation.

What Ongoing Legal and Support Services Are Included in a Retainer Program?

Our monthly retainer removes the uncertainty of hourly billing, giving you the freedom to ask any question without fear of receiving a bill. This includes unlimited email and phone consultation for routine legal advice. The flat-fee retainer covers essential, routine franchise legal work, including:

• Annual FDD updates, amendments, and required state filings (client pays filing fees and shipping costs only).
• Drafting Franchise Agreements and preparing addenda for negotiated terms.
• Vendor contract reviews and negotiations.
• Handling franchisee defaults, terminations, and transfers.
• Sending and responding to routine demand letters.

Additionally, a retainer program connects a franchisor with qualified third-party professionals for essential non-legal services like:

• Accounting services for bookkeeping and to secure the required audited financial statements (fees for external auditors are separate).
• Business consulting services for marketing, advertising, revenue optimization, and cost management and control
• Advisory services for hiring and other human resource services, such as employee benefits
• Insurance services for errors and omissions coverage for the franchisor’s executive and management team
• Real estate services for franchisee location analysis

Contact Franchise.Law to learn how we can help your franchise grow successfully.

How to Determine If a Retainer Program is Right for Your Franchisor Operations

Entrepreneurs who start or manage emerging franchisor businesses are often comfortable with risk but can also balance that risk with sound contingency planning. A retainer program for legal and other third-party services can be a significant component of that planning.

Moreover, a retainer program can be customized to align with an emerging franchisor’s growth and profitability projections. For example, a program might be structured with graduated payments over time to minimize early cost burdens. The critical element in all situations is that a retainer program can help a franchisor get the full scope of legal and other services that it needs without having to omit certain services due to budgetary concerns.

The attorneys at Franchise.Law believe that the cost of legal consulting should never be the ultimate deciding factor that prevents a company from seeking necessary compliance advice. We are committed to helping you establish your franchisor operations with viable, predictable fee and retainer payment structures.

Call Franchise.Law for More Information About Retainer Programs for Emerging Franchisors

Please call the franchise business attorneys at Franchise.Law for more information about the retainer program for emerging franchisors and additional details about how that program can economically and efficiently serve your franchisor growth needs