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what is franchising?

 Franchising is a business model where a company (the franchisor) grants the right to use its trademark, products, services, and operating systems to another company or individual (the franchisee) in exchange for an initial fee and ongoing royalties. The franchisee operates a business using the franchisor's established methods and brand.
franchise business advantage and disadvantages?

 Advantages of Franchise Business: Established brand recognition and reputation Proven business model and systems Access to training and support Marketing and advertising support Potential for lower risk and higher success rate compared to starting a business from scratch Disadvantages of Franchise Business: Limited freedom to run the business as desired Dependence on franchisor's supply chain and decision-making Royalty fees to franchisor Limited ability to innovate and differentiate Restrictions on product offerings and services.
types of franchising?

 There are two main types of franchising: Business Format Franchising: Involves the franchisee using the franchisor's proven business model, including its products, services, trademark, and operating systems. Product Distribution Franchising: Involves the franchisee selling the franchisor's branded products but operating independently with their own business model. what is the rules? The rules for franchising vary by country, but some common elements include: Franchise Disclosure Document (FDD) outlining all terms of the franchise agreement and financial performance data Restrictions on territory and competition Obligations of the franchisor and franchisee, including training and support provided Marketing and advertising contributions Length of the franchise agreement and renewal options Termination provisions Dispute resolution process Financial reporting requirements Royalties and other ongoing fees paid to the franchisor Legal compliance with franchise, labor, and consumer protection laws.
what does the franchisor provide?

 The franchisor provides various support services to the franchisee, including: Use of established brand and trademark Proven business model and operating systems Initial and ongoing training Marketing and advertising support Access to supplier networks Ongoing operational and management support Technology systems Assistance with site selection and lease negotiation Access to financing and business development resources Ongoing research and development of products and services.


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