Franchising Agreement Templates

Knowing about the key elements of franchising agreement is very important because it is good to know while investing in a franchise. The franchise agreements are very complicated and lie highly in the favor of franchiser.  It is a legal document which tells the relationship between franchisee and franchiser. The terms and conditions of every franchise are different from other, so particular pattern or format is not followed. Following are the key elements of franchise agreement:

Business Operation:

The agreement includes the rules and regulations along with restrictions as well as obligations related to franchise which broadly affect the business operation of the franchise. These rules are written from the prospective of franchiser. All those regulations related to trademarks, patents, advertising policies and all the expenses which are expected to contribute in maintenance and repair are also included in this agreement.

Territory:

Territory in the agreement tells where you are going to operate your business. It also tells whether you have exclusive rights or not.

Supports:

It is the training and the support which is provided by the franchiser to the franchisee throughout the life cycle of franchise agreement.

Duration of the agreement renewal options:

The agreement also includes the duration of the agreement as well as the options for the renewal of the agreement. The duration of the agreement can be from 5 to 20 years. There can be many short and frequent renewal periods within this agreement duration. Most of the franchisers like this policy of renewal because any changes which are made to the agreement in the start are also imposed on renewal. So, the franchisee can get no idea about the policies beforehand. If the initial duration of the agreement is long, it will be good for the franchisee as the renewal policies also depend on this. The franchiser makes good changes if the performance of the franchisee is good and vice versa.

Royalties:

The agreement also includes the royalties which are mostly continuing and they are approximately 4 to 8 percent of total monthly sale.

Selling:

The rights of the franchisee related to the sale or transfer of the franchised unit are also mentioned in this agreement. It also gives an opportunity or option to the franchiser that he can buy the franchised unit back from franchisee.

Termination and resolution of dispute:

The rules and regulations of the franchise which are related to the policies in order to resolve all the disputes between the franchiser and franchisee are the main part of the franchise agreement. The process and conditions which are required for the agreement to be terminated are also the main part of the agreement

Advertising:

Under this part of the agreement, the franchiser discloses all the commitment related to the advertisement to the franchisee and he also tells the franchisee about this that he will have to pay for this purpose.

Franchise fee:

The franchisees are also required to pay some initial fee to the franchiser in order to use their trademark and signs.

Here is preview of This First Sample Franchising Agreement Template created using MS Word,

Here is download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template created using MS Word,

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template ,in PDF Format

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template ,in PDF Format

Download link for this Sample Franchising Agreement Template,

Here is preview of another Sample Franchising Agreement Template ,in PDF Format

Download link for this Sample Franchising Agreement Template,

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