Franchises

The 6 Most Common Franchisor Mistakes
Franchises

The 6 Most Common Franchisor Mistakes

Too many entrepreneurs start the franchise journey without being fully prepared.
Kyle Zagrodzky
Franchise of the Day: This Franchise Offers a Special Kind of Bouquet
Franchise of the day

Franchise of the Day: This Franchise Offers a Special Kind of Bouquet

Starting with flowers, this franchise's founder got a better idea: arrangements you can eat.
Lindsay Friedman
How One Woman Reinvented Her Career After Nearly 30 Years by Becoming a Franchisee
Franchise Players

How One Woman Reinvented Her Career After Nearly 30 Years by Becoming a Franchisee

After spending much of her career at Motorola, Linda Zager learned that selling consulting services required different techniques than selling phones.
Carly Okyle
At 19, This Maaco Franchisee Began His Steady Rise to the Top
Franchisees

At 19, This Maaco Franchisee Began His Steady Rise to the Top

A damaged Camaro led Brian Greenley, then a high school senior, to a career as a franchisee.
Former Athletes-Turned-Franchisees Share Insight Into What It takes to Run a Successful Business
Franchise

Former Athletes-Turned-Franchisees Share Insight Into What It takes to Run a Successful Business

Because of their business know-how, these former professional athletes have had success on and off the field.
Lindsay Friedman
Franchise of The Day: These Cruise Planners Could Help You Plan Your Next Vacation
Franchise of the day

Franchise of The Day: These Cruise Planners Could Help You Plan Your Next Vacation

The franchise is a home-based travel agent network with full-service packages.
Lindsay Friedman
This Franchise Knows Just How Cool (and Hot) It Is for a Woman to Own and Operate an HVAC Business
Franchise Players

This Franchise Knows Just How Cool (and Hot) It Is for a Woman to Own and Operate an HVAC Business

Mandy Solis considers herself lucky to have had a mentor who 'never treated me differently because I was young or a woman.'
Entrepreneur Staff
Franchise of the Day: As the Deadline for Taxes Loom This Franchise Might Prove Useful
Franchise of the day

Franchise of the Day: As the Deadline for Taxes Loom This Franchise Might Prove Useful

Around since the 1990s,this tax service is one you can count on.
Lindsay Friedman
Facing Slumping Sales in India, McDonald's Makes Rare Change to Big Mac
Franchises

Facing Slumping Sales in India, McDonald's Makes Rare Change to Big Mac

India holds lots of potential for fast food chains, but new competitors have forced big eateries to keep things fresh.
Lindsay Friedman
The Key to Working Well With Your Franchisees
Franchises

The Key to Working Well With Your Franchisees

To create a business relationship that's a win-win for both sides, you must communicate with your franchisees. Follow these tips.
Mark Siebert
Franchise of the Day: This Company Was Founded and Franchised the Same Day
Franchise of the day

Franchise of the Day: This Company Was Founded and Franchised the Same Day

As a private company, this cleaning franchise is based in California.
Lindsay Friedman
When and Why Franchises Seek Investors
Franchises

When and Why Franchises Seek Investors

Franchises take steps to attract deep-pocketed investors from the start.
WATCH: McDonald's New Anime Recruitment Video Tugs at the Heartstrings
Franchises

WATCH: McDonald's New Anime Recruitment Video Tugs at the Heartstrings

The company appeals to your 'future self' in an attempt to attract new part-time employees in Japan.
Lindsay Friedman

Franchising is a way for companies to expand their business by licensing the rights to third-party retailers or individuals -- or franchisees -- who then can use the franchise's logo, name and business model.

There are three different kinds of franchises. They include:

  • Distributorships, such as withToyota, which licenses the right for a third party to sell the parent company product.

  • Trademark licensing, which allows companies to buy the right to use the parent company's trademark along with their own brand, such as what Coca-Cola licenses to other companies.

  • Business format franchises, such as Subway, which offer its franchisees the right to sell its goods and/or services using its business model.

Popular franchises: Some examples of popular and well-known franchise models are in the food industry -- many of which have gone international -- such as McDonald's, Subway and Pizza Hut. Starbucks, which is commonly thought to be a franchise, is not.

For more information about top franchise businesses, check out Entrepreneur's 2016 Franchise 500® Rankings, or get the Entrepreneur Franchise 500.