Franchise Business Definition

A continuing relationship in which a franchisor provides a licensed privilege to the franchisee to do business and offers assistance in organizing training merchandising marketing.

Franchise business definition. A franchise is a business system in which private entrepreneurs purchase the rights to open and run a location of a larger company. A right to sell a company s products in a particular area using the company s name. It is hard to drive more than a few blocks in most towns without seeing a franchise business. Essentially a franchise is a type of business that sells its business model to entrepreneurs across its home country and eventually across the globe.

A franchise is a license that a party franchisee purchases that allows them access to use a business s franchisor proprietary knowledge processes and trademarks to sell products or provide. The franchising company or. For a set franchise fee which can range from a few hundred pounds to 1 million anyone can open a location of that business or start to offer its products and services from home. Examples of well known franchise business models include mcdonalds subway ups and h r block.