The franchise agreement
When you are looking into franchise opportunities, you will come across a number of practices that you may be unfamiliar with.
But one aspect that it is really important to be clear on is the franchise agreement.
This is a really important document which outlines how your franchise will work and where each responsibility lies in terms of the running of the franchise.
The point of a franchise agreement is that it should act as a contract and it should outline the terms that you have agreed to. Another reason for the franchise agreement is so that it can protect the franchisor and the franchisee. It can also document the rules that need to be observed by both parties in order to have a successfully run franchise.
It is essential that you have a franchise agreement as it can be really important; particularly should any problems arise. The franchise agreement will list the rights of both the franchisee and the franchisor which can be vital in times of dispute.
As with the rest of the franchising process, make sure you research fully into the franchise agreement and that you are happy with what is drawn up before you agree to anything.