What should prospective franchisees investigate before buying a franchise?

"3. The Federal Trade Commission is the government agency that monitors and regulates franchises. Visit the FTC site ( http://www.ftc.gov ), and explore the links to its resources on franchising, including details on the legal responsibilities of franchisors and franchisees. What kinds of problems should a prospective franchisee look out for when considering a franchise? What kinds of scams are typical in the franchise industry? 4. Select three franchises that interest you. Research them at sites such as the Franchise Handbook Online ( http://www.franchisehandbook.com ), Entrepreneur magazine’s Franchise 500 ( http://www.entrepreneur.com ), and Be the Boss ( www.betheboss.com ). Prepare a chart comparing your selections, including history, number and location of units, financial requirements (initial franchise fee, other start-up costs, royalty and advertising fees), and any other information that would help you evaluate the franchises."