UK franchise business is an important part of the economy

In the last few years, the UK franchising market has gained a lot of popularity. The contribution of franchise businesses in the last year alone increased from £5 billion to a £12.4 billion. Such phenomenal amounts of profits have made UK franchises an important part of the economy. With the availability of different types of franchises available, everybody is sure to find a franchise that would suit them.

Manufacturing Franchises

The setup for a manufacturing franchise is where the franchisor gives the franchisee the permission to manufacture its products and sell them to people. The franchisee gets access to the brand name and the trademark of the franchisor. The franchise then has to pay a fee to the franchisor for every purchase made from the franchise store.

Business Franchise Ventures

This is an agreement where the franchisee is allowed to purchase and distribute the products manufactured by the franchising company. The franchisor in this case, also provides a lot of the customer base to the franchisee and in short, helps him set up the franchise and then allows the franchise to handle the sales. Product Franchises

These types of franchises work on an agreement between the franchisor and the franchisee. The franchise is given the right to use the brand name and sell the products manufactured by the franchisor. The franchise also has to pay a pre allotted fee to the franchisor for every sale.