This ad will close in
Question added to topic FranchisesNovember 13, 2007

What is the primary difference between a franchise and a licensed dealership?

If we sell the use of our logo and marketing materials, and offer business/marketing coaching to independent agents in our service industry, does that make us a franchisor? There is so much conflicting information about what constitutes a licensed dealership, franchise, and business opportunity. Could you offer some clairification of the differences? I realize the rules vary by state. We want to offer licensed dealerships. Thanks!
This is a very important question because it affects what laws and regulations will apply to your business endeavor.  The only sure way to know the answer for your specific situation is to consult with an attorney that specializes in franchise and business opportunity laws.  There are many of these that you can access through the International Franchise Association web site at www.franchise.org and you'll find that most will grant you an initial consultation at no cost to get your basic questions answered.

Jeff Elgin has almost 20 years of experience franchising, both as a franchisee and a senior franchise company executive. He's currently the CEO of FranChoice Inc., a company that provides free consulting to consumers looking for a franchise that best meets their needs.

0 Comments. Post Yours.

About ASK ENTREPRENEUR

Ask Entrepreneur is a question-and-answer forum for and by the Entrepreneur.com community. Send in your burning business question, or comment on someone else's now. Have a Question? Ask Now

Topics (over 1000+ answers)

Don’t see a topic? Suggest One

Ask Entrepreneur Q&A Hangouts

Google + Hangout With Shark Tank
Google + Hangout With Jason Falls
Google + Hangout With Angela Jia Kim
Google + Hangout With Grant Cardone