Franchises
Laws and legal information about franchises
Related Topics
Is Franchising Right for You?
If you are considering purchasing a franchise, there are things you should know before doing so. Consider how much it will cost to start the business and to continue running the business. Consider whether working in the franchisor's business is something you would like to do and continue to do for an extended period of time. Once you decide the industry in which you want to work, compare franchises in that industry. Are there advantages one has over the others? What has been the experience of other franchisees with the franchisor? Read more
Franchises
Franchising is a method whereby a business expands by allowing licensed businesspersons to sell products or services in compliance with the business methods of the franchisor (the business granting the franchise). The franchisee (the person granted a license to operate the business) sells the franchisor's products or services in a certain geographical location following the franchisor's marketing methods. Essentially, a franchisee receives a license to conduct business on the franchisor's goodwill during the course of the franchise agreement. The transfer of goodwill is more like a lease than a sale in that the franchisee may trade upon it only for a certain time and for a certain price. Examples of franchise businesses are fast food restaurants, motels, and car dealerships. Read more