How To Start A Franchise

Have you ever thought of how to start a franchise and owning one business location, or maybe more, and operating under a nationally recognized brand? Before you make a decision to start a franchise, you need to understand what franchising is all about and what it isn’t.

What a franchise is and why you might want to operate one

Franchising is a system for expanding a business and distributing goods and services, and an opportunity to operate a business under a recognized brand name. It’s also a relationship between the brand owner - the franchisor, and the local operator - the franchisee. It's a business system that provides customers with consistent delivery of products, services, and customer experience.

A franchise occurs when a business (the franchisor) licenses its trade name (the brand) and its operating methods (its system of doing business) to a person or group (the franchisee) who agrees to operate according to the terms of a contract (the franchise agreement). The franchisor provides the franchisee with support and, in some cases, exercises some control over the way the franchisee operates under the brand.

In exchange, the franchisee usually pays the franchisor an initial fee (called a franchise fee) and a continuing fee (known as a royalty) for the use of the trade name and operating methods.

Pros and Cons

Franchising Research

Franchising Research Sources

Buying a Franchise

Successful Franchisees

Franchising Lawyers

Return from Start a Franchise to Best Franchises


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