Basic Knowledge About Franchising

I. GENERAL INTRODUCTION

1. Overview of Franchising:

Franchising is a business model in which a brand owner (franchisor) grants a partner (franchisee) the right to use its trademark, business model, and operational knowledge to open and operate a store.

2. Benefits of Franchising:

Rapid Expansion: Franchising allows brands to expand their market quickly without having to invest directly in each location.

Reduced Financial Risk: The franchisee bears most of the investment costs, minimizing financial risk for the franchisor.

Comprehensive Support: The franchisor provides support from site selection, setup, marketing, to daily operations.

II. RESPONSIBILITIES OF THE FRANCHISOR