What should a franchisor provide you with?
A good franchise can provide a full range of services, including:
- Site selection
- Product supply
- Marketing plans
Generally, a franchisee sells goods or services that are supplied by the franchisor or that meet the
franchisor’s quality standards.
A franchise typically enables you, the investor or “franchisee,” to operate a business. By paying a
franchise fee, which may cost several thousand dollars, you are given through a format or system developed by the company (“franchisor”), assistance from the franchisor as well as the right to use the franchisor’s name for a limited time.
The franchise system may help you find a location for your outlet; provide initial training and an operating manual; and advise you on management, marketing or personnel. Some franchisors offer ongoing support such as monthly newsletters, a toll free phone number for technical assistance, and periodic workshops or seminars.