HOW TO FRANCHISE?

A franchise opportunity is a formal business relationship between the franchisor and the franchisee. The franchise itself is an established business that has a name, along with products or services that it sells using a business model that’s proven to be successful. The franchise follows an established method of doing business that often utilizes proprietary business models, practices, tools, and/or resources, including trademarks (such as a well known brand name and logo), all of which have allowed the business to achieve success and consumer recognition.

The franchisor and franchisee engage in an ongoing business relationship. The franchisee is typically the proprietor of his or her own business. However, the way in which the franchisee operates the business is often overseen and somewhat controlled by the franchisor. The franchisor provides the product(s) or service(s), or at least lines up suppliers and provides the entire system for operating that business. How the franchisee/franchisor relationship takes shape varies greatly, depending on the franchisor and type of business.

In exchange for the services, tools, and resources provided by the franchisor, the franchisee pays a variety of different fees.This step will describe further on the next articles.