The FDD tells you what the franchisor wants you to know. Existing franchisees tell you what's actually true. Validation calls — conversations with current and former franchise owners — are the most important part of your due diligence.

Here are 10 questions that cut through the surface and reveal what franchise ownership really looks like.

The Essential Questions

1

"How does your actual revenue compare to what's in the FDD?"

If the franchise discloses Item 19 data, this question calibrates expectations. Are most owners hitting the average? Exceeding it? Falling short? The answer tells you whether the disclosed numbers reflect reality or best-case scenarios.

2

"What were your total startup costs, and how did they compare to Item 7?"

Item 7 provides estimates, but actual costs often differ. This question reveals whether you should budget at the low end, high end, or beyond the disclosed range. Ask specifically about buildout surprises and unexpected expenses.

3

"How long did it take you to reach breakeven?"

Breakeven — when monthly revenue covers monthly expenses — is the first financial milestone. Some franchisees hit it in 6 months; others take 18+ months. The answer shapes how much working capital you need and how long before you can pay yourself.

4

"What are your actual monthly operating expenses?"

Get specific: rent, payroll, utilities, marketing, supplies, insurance, royalties. This data lets you build a realistic P&L projection. Ask what percentage of revenue goes to each major category.

5

"What does the franchisor do well? Where do they fall short?"

Every system has strengths and weaknesses. Maybe the marketing support is excellent but the technology platform is outdated. Maybe training is thorough but ongoing support is slow. Understanding both sides helps you know what to expect.

6

"What surprised you most about franchise ownership?"

This open-ended question often surfaces insights that specific questions miss. You'll hear about time commitments, staffing challenges, customer dynamics, or operational realities that weren't clear from the FDD or sales process.

7

"How would you describe your relationship with the franchisor?"

Is it collaborative or adversarial? Supportive or neglectful? Do they listen to franchisee feedback? The franchise relationship lasts 10+ years — you want partners, not just a logo license.

8

"What's your biggest ongoing challenge?"

Staffing? Member retention? Local competition? Marketing costs? Every business has pain points. Knowing the common challenges helps you prepare and assess whether you're equipped to handle them.

9

"How many hours per week do you work in the business?"

Some franchises are owner-operated; others can be managed semi-absentee. Get the real picture of time commitment. Ask about the difference between the first year (typically more intense) and ongoing operations.

10

"Knowing what you know now, would you make the same investment?"

The ultimate question. Listen carefully to the answer — including hesitations, qualifications, and what they'd do differently. A confident "yes" is a green flag. A long pause or hedging answer warrants further investigation.

How to Conduct Validation Calls

Getting the most from these conversations requires the right approach:

Who to Call

  • Mix of tenures: New franchisees (1-2 years), established owners (3-5 years), veterans (5+ years)
  • Mix of performance: Try to identify both successful and struggling locations
  • Former franchisees: Item 20 lists owners who left the system — their perspective is valuable
  • Geographic variety: If possible, talk to owners in different markets

How to Approach

  • Call during off-peak hours (mid-morning or mid-afternoon)
  • Introduce yourself as a prospective franchisee doing due diligence
  • Ask if they have 15-20 minutes to share their experience
  • Be respectful of their time — they're doing you a favor
  • Take notes during or immediately after each call

Pro tip: Aim for 8-12 validation calls minimum. Patterns emerge across multiple conversations — one franchisee's experience might be an outlier, but consistent themes across many calls reveal systemic realities.

Reading Between the Lines

Pay attention to what franchisees don't say, and how they say what they do:

  • Hesitations and pauses: Often indicate uncomfortable truths
  • Vague answers: May signal unwillingness to share bad news
  • Emotional tone: Enthusiasm, frustration, or resignation comes through
  • Redirections: Changing the subject may indicate sensitive areas
  • Consistency: Do different franchisees tell similar stories?

If someone seems reluctant to talk, don't push — but note it. If multiple franchisees seem guarded, that's a signal worth heeding.

Red Flags in Validation

Watch for these warning signs across your calls:

  • Multiple franchisees reporting revenues well below Item 19 averages
  • Consistent complaints about franchisor support or responsiveness
  • High turnover among staff or franchisees
  • Significant regret or "I wouldn't do it again" responses
  • Descriptions of adversarial franchisor relationships
  • Pressure from the franchisor to only speak with approved contacts

Research Before You Call

Know the numbers before your validation calls. Our comparison report gives you the investment, fees, and growth data for 39 fitness franchises.

View Full Comparison →

After the Calls

Once you've completed your validation:

  1. Review your notes and identify patterns
  2. Update your financial projections based on real data
  3. List remaining concerns or questions for the franchisor
  4. Decide whether to proceed, pause, or walk away

Validation isn't about finding the perfect franchise with zero problems. It's about understanding the real challenges and deciding whether you're equipped and willing to face them.

Trust the franchisees who are living it every day. Their experience is your best preview of what's ahead.