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

Why the Court's Ruling on FedEx Drivers Could Jeopardize the Franchise Model
Legal Center

Why the Court's Ruling on FedEx Drivers Could Jeopardize the Franchise Model

In the latest lawsuit that attempts to define the line between independent entrepreneur and employee, the court ruled that FedEx Ground drivers are employees, not independent contractors.
Kate Taylor
Presented by
Franchise Players: These Panera Bread Franchisees Now Have 34 Locations
Franchise Players

Franchise Players: These Panera Bread Franchisees Now Have 34 Locations

Two franchisees spill on how they managed to make this fast-casual staple catch on in New England.
Kate Taylor
In $11 Billion Deal, Burger King Scoops Up Tim Hortons and Heads to Canada
Legal Center

In $11 Billion Deal, Burger King Scoops Up Tim Hortons and Heads to Canada

It's official: Burger King is buying coffee and doughnuts chain Tim Hortons for approximately $11 billion, with financing help from Warren Buffet.
Kate Taylor
Presented by
Franchise Players: Former NFL Wide Receiver Buys a Sandwich Franchise
Franchise Players

Franchise Players: Former NFL Wide Receiver Buys a Sandwich Franchise

After retiring from the NFL, Troy Williamson decided to open a Which Wich restaurant in Aiken, S.C., where he grew up.
Kate Taylor
Burger King in Talks to Buy Tim Hortons, Move to Canada
Burger King

Burger King in Talks to Buy Tim Hortons, Move to Canada

Burger King and Tim Hortons announced on Monday that they are discussion a merger, with Burger King corporate potentially moving to Canada.
Kate Taylor
Buying a Franchise? When You Need to Worry About Location.
Location

Buying a Franchise? When You Need to Worry About Location.

A look at the common fears of aspiring franchisees when it comes to choosing their franchise location.
Joel Libava
11 Ways To Use LinkedIn To Boost Franchise Development
Franchise Opportunities

11 Ways To Use LinkedIn To Boost Franchise Development

LinkedIn, where employers and job seekers find each other, is just as good for people seeking entrepreneurial opportunity.
Matthew Job
Are Minimum-Wage Activists Trying to Kill the Franchise Model in Seattle?
Legal Center

Are Minimum-Wage Activists Trying to Kill the Franchise Model in Seattle?

The International Franchise Association claims Seattle's new minimum wage law discriminates against franchisees, and says it's all one labor union's fault.
Kate Taylor
Presented by
When Eating Out, Your Diet Goes Out the Window
Personal Health

When Eating Out, Your Diet Goes Out the Window

While the majority of people are watching their weight, a surprising number say they stop counting calories when dining out, a new study says.
Kate Taylor
Franchise Players: Exploring Unique Markets as a Multi-Unit Franchisee
Franchise Players

Franchise Players: Exploring Unique Markets as a Multi-Unit Franchisee

With 21 franchise locations in seven states, John Russell understands that just because different locations are under the same brand doesn't mean they are identical.
Kate Taylor
How Planet Fitness Aims to Become the McDonald's of Gym Franchises
Fitness Businesses

How Planet Fitness Aims to Become the McDonald's of Gym Franchises

Affordable, streamlined and closing in on 1,000 locations – can Chris Rondeau turn Planet Fitness into a mega-chain of McGyms?
Kate Taylor
5 Life Lessons That Made Me a Better Entrepreneur
Work-Life Balance

5 Life Lessons That Made Me a Better Entrepreneur

Some of the words of wisdom that guide my personal life have proved to be just as useful in the office.
Valerie Svenningsen
Franchise Players: How This Professor Became a Tutoring Franchisee
Franchise Players

Franchise Players: How This Professor Became a Tutoring Franchisee

After 19 years as a professor at the University of Portland, Dr. Mind Hsu turned his hobby of tutoring into a second career.
Kate Taylor
Our Top Innovative Franchises
Franchises

Our Top Innovative Franchises

Here are some companies finding new ways to do business.
Tracy Stapp Herold