Franchise

Franchising is a business opportunity that's somewhere between buying an existing business and launching a startup in terms of creativity, independence and risk. A franchisee buys a license from a franchisor to be a dealer of that business model. The owner of the franchise sells a product or service through its franchisees.

In exchange for an initial set-up fee and a monthly payment, the franchisor provides the franchisee a business model, marketing supplies, staff-training assistance, managerial consulting and a pre-existing supply chain. Also, the franchisee benefits from the franchisor's economies of scale, receiving access to prices that a business owner may not otherwise get running a single shop.

There is, in theory, less risk to buying a franchise business than starting a business from scratch because the business model has been tested. Also, as a franchise unit owner, you have a built-in advisory board in the management staff of the umbrella franchise organization. On the downside, you have less creative control over your business as a franchisee than as an independent business owner.

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News and Articles About Franchise

A Nonprofit Director Raises Funds With a Blimpie Franchise
Franchise Players

A Nonprofit Director Raises Funds With a Blimpie Franchise

When Bobby Calvillo realized the Affordable Home of South Texas didn't have the funds to build the homes low-income families needed, he took matters into his own hands.
Kate Taylor
Leaving Corporate America for Franchising After 30 Years
Franchise Players

Leaving Corporate America for Franchising After 30 Years

Paul Deal didn't know what to expect when he opened a one-man business as a Floor Coverings International franchisee. Here's what he's learned.
Kate Taylor
Restaurants Aside, Employment in the Franchise Industry Slumps in October (Infographic)
Franchise

Restaurants Aside, Employment in the Franchise Industry Slumps in October (Infographic)

Job growth in the franchise industry slowed down in the second half of 2014, compared to a strong growth March through June.
Kate Taylor
How These Three Stay-at-Home Moms Teamed Up to Buy a Franchise
Franchise Players

How These Three Stay-at-Home Moms Teamed Up to Buy a Franchise

Jianna King, Jaysie McLinn and Jodi Gallen opened their own franchise - all while staying home with their kids.
Kate Taylor
Burger King Posts Strong U.S. Sales Growth as McDonald's Flounders
Franchise

Burger King Posts Strong U.S. Sales Growth as McDonald's Flounders

The Whopper maker is looking to new frontiers, introducing mobile payments and making a push into India.
Kate Taylor
This Couple Discovered Franchising as a Way to Give Back Locally and Globally
Franchise Players

This Couple Discovered Franchising as a Way to Give Back Locally and Globally

Phil and Sheila Harris saw Dream Dinners as an outlet for their philanthropic work.
Kate Taylor
How This Independent Thinker Realized Franchising Was the Right Fit for Her
Franchise Players

How This Independent Thinker Realized Franchising Was the Right Fit for Her

Pat Lakatta worried that franchising would compromise her freedom and flexibility. Today, she has realized that couldn't be further from the truth.
Kate Taylor
The International Franchise Board Tries to Dig Up Details on Labor Board's 'Joint Employer' Decision
Legal Center

The International Franchise Board Tries to Dig Up Details on Labor Board's 'Joint Employer' Decision

The IFA plans to file a request with the National Labor Relations Board to disclose the reasoning behind deeming franchisors 'joint employers.'
Kate Taylor
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Chipotle Employees Claim the Chain Isn't as Worker-Friendly as You Think
Chipotle

Chipotle Employees Claim the Chain Isn't as Worker-Friendly as You Think

Employees at the burrito chain are suing for wage theft in two states.
Kate Taylor
Finding Success as a Female Franchisee in a Male-Dominated Industry
Franchise Players

Finding Success as a Female Franchisee in a Male-Dominated Industry

'The Flooring Girl' has made her gender an asset in the flooring business.
Kate Taylor
As Football Season Approaches, Buffalo Wild Wings Raises Prices
Chicken

As Football Season Approaches, Buffalo Wild Wings Raises Prices

The chicken wings chain said that rising chicken costs means menu prices will increase by 3 percent.
Kate Taylor
Franchise Players: Finding a Balanced Life as a Pure Barre Franchisee
Franchise Players

Franchise Players: Finding a Balanced Life as a Pure Barre Franchisee

Lauren Fike loved the challenges of commercial real estate, but knew she needed an outlet for her entrepreneurial spirit that matched her passion for health and fitness.
Kate Taylor
Taco Bell Now Lets You Order and Pay Ahead by Smartphone
Mobile Payments

Taco Bell Now Lets You Order and Pay Ahead by Smartphone

Taco Bell is now the first fast-food chain to offer nationwide mobile ordering and payments for both drive-thru and dining room orders.
Kate Taylor
Franchise Players: From Finance to a Million-Dollar Franchise
Franchise Players

Franchise Players: From Finance to a Million-Dollar Franchise

In less than four years, Stacy Huston's Handyman Matter franchise location grossed more than a million dollars.
Kate Taylor