Franchise Network Benchmark: 5 Principles To Bear In Mind For A Good Reporting Clause

Benchmarking is a vital tool in the development and improvement of a franchise network, and will benefit franchisees and franchisors alike.

A good benchmark, whether financial and/or operational requires the communication of accurate and relevant documents and information between the franchisee and the franchisor, which is best organised in a clear and detailed manner in the franchise agreement.

As there are no specific rules governing such reporting clauses, the parties have considerable freedom to define their content. In this blog post, we highlight 5 essential principles that need to be taken into account when drafting a reporting clause for benchmarking purposes that would be considered reasonable, relevant and valid under Belgian law.