According to Federal Trade Commission, a franchise is the offer of sale of any business where his franchisor makes an agreement with the franchisor, who unleashes out the trademark to a new seller. However, the franchisor retains the control over the operation of the business for maintaining the correct standards. It is a legal standard in the business performance. A franchise can be of different format. There are five types of franchising. They include single unit, sequential, area development, sub franchising or area franchising. In all these, one is given the right to sell the products using another firm’s brand and image1.
Advantages of franchising
It acts as ...