7 Questions to Ask Before Opening a Franchise

1. How much experience and market maturity does the brand have?

One of the first things you should know before opening a franchise is how much experience the brand has in the market. Some franchisors benefit from having a nationally and internationally recognised brand, backed by decades of experience both in their market and in franchising. A mature brand with a proven track record can be particularly important when looking for long-term stability and security for your future business.

At Mail Boxes Etc. we have 40 years of experience, 240 Centres in Spain and more than 1,600 across over 40 countries, supporting continued growth.

2. Is initial training provided?

A good franchise should be committed to supporting the franchisee from the beginning by providing the tools and training required to ensure a strong start. But training itself is not the only thing that matters: its quality and continuity are equally important. At Mail Boxes Etc. we provide a mix of theoretical and practical training from the outset:

Once the initial training has been completed, the franchisee also gains access to a platform where we provide key courses for continued improvement, as well as a team that will continue to monitor and support their activity until they have developed a strong command of the different areas of the business.

3. Once I have started, what ongoing and additional training is available?

Some franchisors may assume that, once the franchise fee has been paid and the initial training completed, the franchisee is fully prepared to manage the business. That is why, in addition to initial training, it is important to understand what kind of ongoing training culture exists within the franchise over the longer term.

For example, Mail Boxes Etc. has an exclusive training tool where new techniques and tutorials are regularly added to help optimise the business. MBE also has a system called "Process Management", which involves working one-to-one with franchisees who are in a growth phase, helping them consolidate that growth by maximising team productivity, controlling costs and defining commercial sales actions and the operational execution of the services sold.

4. In addition to initial and ongoing training, is there a central team to support franchisees when problems arise?

As every entrepreneur knows, running a business can be complex and obstacles and challenges are common. A good franchise should make available a team of experts who support the interests of its franchisees and help resolve problems that may arise with customers, suppliers or other areas of the business.

MBE has a central team made up of specialists in technology, supplier relations, marketing, customer service, construction and point-of-sale design, among other areas. The goal is to provide the franchisee with the support they need so they are not alone when running their business.

5. What kind of marketing, advertising and promotional support is provided?

A communication plan can vary considerably depending on the company, both at brand and franchisee level. Some companies invest heavily in maintaining brand value but may pay less attention to promoting franchisees locally. Others may fail to invest enough in marketing and gradually lose market visibility. For this reason, it is important to understand what actions the company carries out both nationally and locally.

In the case of Mail Boxes Etc., in addition to being sponsors of La Liga LFP and carrying out activities at high-profile events, we also have a well-structured digital strategy that includes positioning our Centres on major search engines, providing visibility on key social networks and creating a dedicated micro-website for franchisees, among other actions.

6. How long does it usually take a franchisee to reach the break-even point?

In a franchise, in addition to royalties and initial fees, many variables depend on the individual candidate and can affect the total investment required. As with any business, it is essential to have sufficient working capital to support the business until it reaches the break-even point.

Therefore, to avoid excessive debt or financial difficulties, you should always ask how long franchisees within the network usually take to become profitable.

At MBE, each case is analysed individually and we prepare a profit and loss forecast together with the candidate to determine the break-even point. On average, an MBE franchisee reaches the break-even point between 10 and 13 months.

7. Are financing options, incentives or special offers available?

One final point, but certainly not a less important one, is understanding the financing options available before opening a franchise. The costs associated with launching a franchise are an important factor when comparing different opportunities. Some franchises provide financing options for their franchisees, while others may also offer leasing options for business assets, particularly for models requiring technology or equipment subject to depreciation. Some may also offer specific incentives or discounts for particular candidate profiles.

Ultimately, each franchisor may offer different solutions to facilitate a candidate's entry into the network. It is important to analyse these carefully alongside the previous point — the break-even point — and ensure that the numbers support the viability of the business.

At MBE, thanks to our proven business model, we have reached financing agreements with leading banks and also offer leasing solutions that allow franchisees to manage the acquisition, maintenance and renewal of the equipment required for the business through regular payments. You can find more information about financing options for opening an MBE franchise. We also offer a 25% discount on the franchise entry fee for candidates under 30.

At Mail Boxes Etc., we understand how important the decision to start a business can be, and we hope these questions help provide greater clarity around some of the doubts that may arise during the process.