Franchising, a business method that involves licensing of trademarks and methods of doing business, such as. Where implemented, a franchisor licenses its knowhow, procedures, intellectual property, use of its business model, brand, and rights to sell its branded products and services to a franchisee. The word franchise is of anglofrench derivationfrom franc, meaning freeand is. Franchisor legal definition of franchisor legal dictionary. Look up words and phrases in comprehensive, reliable bilingual dictionaries and search through billions of online translations.
Plan well and work hard and you will have the satisfaction of seeing your operations grow over a period of time. With over 300 terms, our dictionary is designed to help you better understand the terms that you will come across daily while running your business or dealing with your accountant and your bank. Accelerated payment occurs when a borrower speeds up. Synonyms for franchise at with free online thesaurus, antonyms, and definitions.
Noun 1 an authorization to sell a companys goods or services in a particular place 2 a business established or operated under an authorization to sell or distribute a companys goods or services in a particular area 3 a statutory right or privilege granted to a person or group by a government especially the rights of citizenship and the right to vote. Business dictionary free businessdictionary is a free easytouse free business glossary with over 30,000 definitions that span across critical business related topics. A franchise business is a business in which the owners, or franchisers, sell the rights to their business logo and model to third parties, called franchisees. Franchising definition, a privilege of a public nature conferred on an individual, group, or company by a government. When a business franchises it provides opportunity on so many different levels for so many different people.
From the standpoint of the business owner, franchising is a vehicle for growth. Unlike a franchise, however, the business opportunity. Franchising, a business method that involves licensing of trademarks and methods of doing business to franchisees. Business opportunity definition entrepreneur small business. Franchising provision of a specialized sales or service strategy, support assistance, and possibly an initial investment in the franchise in exchange for periodic fees. You, the franchisee, license the rights to operate using that companys brand and trademarks, operating procedures, and products.
Oxford dictionary of business is a product developed by mobile systems inc. There are many different types of business, from small sole traders to huge companies and corporations. You can get meaning of any english word very easily. Our retail dictionary can help you navigate all of the lingo youre hearing. In politics, the franchise is the right conferred on an individual to vote. Franchising definition of franchising by merriamwebster. Business, business basics, business management business busi. Business format franchising law and legal definition.
A franchise is an authority that is given by an organization to someone, allowing them to. This is a way that some businesses expand by distributing their goods. For example franchising has a different meaning for a business owner like you compared to an entrepreneur who buys into a franchise. According to the oxford english dictionary, a franchise is.
A privilege or right granted by law, especially the right to vote in the election of public officials. Meaning, pronunciation, translations and examples log in dictionary. This is a common way to start a business, especially in highly competitive industries. This allows the entrepreneur to start a business without building up hisher own brand or products. Jurisdictions used to be treated as property rights, and could be referred to as franchises. With over 300 terms, our dictionary is designed to help you better understand the terms that you will come across daily while running your business. A franchise is a specific type of business that is more like a branch of a bigger company or one of many identical twin businesses. No matter what business topic youre interested in, youll find our category list is an easy way to navigate our small business encyclopedia. Franchise pronunciation in english cambridge dictionary. We recently took a look back at our top 100 rankings for the. In return the franchisee pays certain fees and agrees to comply with certain. Franchise an agreement in which an entrepreneur buys a license to use another business products, brand, proprietary knowledge, and trade secrets.
Download it once and read it on your kindle device, pc, phones or tablets. Franchising definition entrepreneur small business encyclopedia. In this contact, the franchisee pays the franchiser for the right to use the licensed material. Franchise system financial definition of franchise system. The term franchise also refers to a type of business in which a group or individual receives a license from a corporation to conduct a commercial enterprise. It has autosuggestion feature which will save you a lot of time getting any meaning. Franchisee meaning in the cambridge english dictionary. Franchise system article about franchise system by the free. Franchise synonyms, franchise antonyms merriamwebster. Franchise definition and meaning collins english dictionary. So lets explore what it really means to franchise a business. The philippine franchise association, with the theme creating enterprises, generating jobs 2019 showed us during the franchise exposeminars last may 30 to june 1, 2019, at the atrium, sm lanang premier, that many participants have found their business profitable because of the assistance of the philippine franchise association. Franchise direct has compiled its ranking of the top 100 global franchises.
Add the power of cambridge dictionary to your website using our free search box widgets. A franchise is a contractual arrangement which is entered into for a specified period of time, with the franchisee paying a royalty to the franchisor for the rights assigned. A form of business organization in which a firm which already has a successful product or service the franchisor enters into a continuing contractual relationship with other businesses franchisees operating under the franchisors trade name and usually with the franchisors guidance, in exchange for a fee. Franchising is a form of a licensing agreement in which a company provides the franchisee with a complete package of materials and services, including equipment, products, product ingredients, trademark and trade name rights, managerial advice and a standarized operating system. A franchise agreement is the contract defining the terms and conditions between the franchisor and franchisee. When choosing a franchise, you want to find a business that produces. A franchise is a type of license that a party franchisee acquires to allow them to have access to a businesss franchisor proprietary knowledge, processes, and. It is hard to drive more than a few blocks in most towns without seeing a franchise business.
Franchising is a form of business by which the owner franchisor of a product, service or method obtains distribution through affiliated dealers franchisees. The business format taught by the franchisor includes marketing, selling. Translate texts with the worlds best machine translation technology, developed by the creators of linguee. Consumer franchise definition by babylons free dictionary.
Franchise definition in the cambridge english dictionary. Franchise definition of franchise by the free dictionary. It works by a franchisor the initial owner delegating his business model, trademarks and marketing methods to a manager who then runs the business themselves. Business format franchising, according to business dictionary, is an. The legal implications and documentation differ depending on the kind of franchise, but the arrangement produces money only because of the web of contractual. Franchise definition of franchise by merriamwebster. A right conferred or established by a government, such as the right to vote exercise ones franchise in a local or national election. A franchise is a type of license that a party franchisee acquires to allow them to have access to a business s the franchiser proprietary knowledge, processes, and trademarks in. Franchisee definition and meaning collins english dictionary. Corporate franchises enable a franchisee to market a wellknown product or service in return for an initial fee and a percentage of gross receipts. Franchise system article about franchise system by the. Buying an existing business franchising is a kind of licensing arrangement wherein a business owner, known as the franchisor, distributes or markets a trademarked product or. Franchising is based on a marketing concept which can be adopted by an organization as a.
Although they are small businesses, franchises operate as though they were part of a larger business. Franchising definition of franchising by the free dictionary. These examples are from the cambridge english corpus and from sources on the web. Use features like bookmarks, note taking and highlighting while reading the franchise fix.
A franchisee is a small business owner that purchases the right to use an existing business s trademarks, associated brands, and other proprietary knowledge. Franchising is a kind of licensing arrangement wherein a business owner, known as the franchisor, distributes or markets a trademarked product or service through affiliated dealers, who are. Technically, all franchises are business opportunities, but not all business opportunities are franchises. A franchise business is a business you own and operate using an established companys brand. An authorization granted to an individual or group to trade in a particular area for a stated period, usually in return for royalties, a share of the profits, etc. Adopting a franchise system business growth strategy for the sale and distribution of. Business format franchising law and legal definition business format franchising refers to an arrangement where a franchisor teaches to the franchisee the entire businesses format. This list is made available for use by lenderscdcs in evaluating the eligibility of a small business that operates under an agreement.
Franchise system legal definition of franchise system. A franchisee is a person or group of people who buy a particular franchise. Franchise definition is the right or license granted to an individual or group to market a companys goods or services in a particular territory. All trademarks, registered trademarks, product names and company names or logos mentioned herein are the property of their respective owners. Arrangement where one party the franchiser grants another party the franchisee the right to use its trademark or tradename as well. Browse through our collection of franchise opportunities. The business systems needed to capture the power of your food franchise franchise success book 1. The franchisee usually pays a onetime franchise fee plus a percentage of sales revenue as royalty, and gains 1 immediate name recognition. Arrangement where one party the franchiser grants another party the franchisee the right to use its trademark or tradename as well as certain business systems and processes, to produce and market a good or service according to certain specifications. More broadly stated, a franchise has evolved into an elaborate agreement under which the franchisee undertakes to conduct a business or sell a product or service in accordance with methods and procedures prescribed by the franchisor, and the franchisor undertakes to assist the franchisee through advertising, promotion, and other advisory services. Major franchise networks, which have grown rapidly in the united states since the 1960s, include fastfood restaurants, gasoline stations, motels, automobile dealerships, and realestate agencies, and the system has expanded into many other fields.
This site is not directly affiliated with mobile systems inc. From cambridge english corpus the centrepiece of the new colonial dispensation, the territorial councils, remained forums of debate without power, elected on limited and discriminatory franchises. Starting a franchise allows the unlimited reproduction of their business, with almost full control remaining with the initial owner, although the work is done by somebody else. Establishing a franchise business gives you the advantage of working for yourself and at the same time, having access to the resources and knowhow of the franchisor. Browse the list below if you would like to learn more information about the worlds most successful franchises. In other words, a franchise is the right to produce a licensed product by the owner of the license. Download our franchise report which contains vital information about. How to finance a franchise purchase online business dictionary.
While franchising a business provides numerous benefits and has the potential to catapult a business into mainstream society, depending on a persons perspective franchising can mean different things for different people. Franchising definition entrepreneur small business. A franchise is the license to make or sell a product under certain conditions granted by the owner of these rights. The person taking on the franchise is advantaged because they get a readymade brand and proven business that they just have to run, as opposed to starting from scratch.
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