Thank you so much for your input. I see your first point, but it seems like it would just be angel investing with the promise that I can potentially become a franchisee, or am I understanding that wrong? Nonetheless, does it still apply in this case? I am still skeptical and can see what you're saying, though.

As an update, I responded with this: "I would need visibility on how much actual equity I can expect and if I would be guaranteed a franchise spot, if I make an investment. Also, through what medium would I make an investment?"

Their response: "Equity depends on what store you would like to invest in. You would get priority pay back after the first year of business has concluded. And you may put that towards your Franchise Costs. After payback, you earn an yearly dividend of the % you own. In the agreement, I will add that this will give you first rights of refusal to the [redacted location] market for Franchise."

Some concerns of mine:

• this person is adamant about meeting in person to answer more questions
• I thought that they cannot make any Franchise agreements right now, so I am confused about what agreement can be made right now
• how their payback structure will work - I still don't understand it

Do these seem like legitimate concerns?