How Franchising Works
A franchise is a right granted to an individual or group to market a company's goods or services within a selected geographical location, along with a franchisor's established operational methods.
Starting up a franchise gives you many advantages, as it often uses a recognisable brand name and a strategic business model. According to the NatWest Franchise Survey (2010) nine out of ten franchises are successful, providing a positive outlook for all prospecting start-ups.
There are many different types of franchises, which are often associated with fast food businesses. However, there are actually over 120 different types of franchise businesses available today, including automotive, financial services, health & fitness and training related franchises. With such a choice of franchises it can sometimes be difficult to pinpoint the type of business right for you.
Before a franchise can begin trading it is vital for any prospective franchisee to consult with a lawyer experienced with franchise agreements and business contracts before signing any of these documents.
IMPORTANT: A franchise is NOT an independent business.
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