Franchising is an increasingly popular way of expanding a business. It opens up new ways of distributing products and services, without the need to open a new office or shop, or train new employees, or arrange new marketing, sales and distribution systems. See our Guide to “Franchising Your Business”. We advise business owners on whether to franchise their business, and arrange the legal contracts, documents and safeguards if they go ahead.
Virtually any business can be franchised. Classic examples of franchises are McDonald’s and Domino’s Pizza, but petrol stations, contract cleaners, website design agencies, removals companies and professional service firms are also often franchised.
Franchising your business involves a number of steps. You need to ensure that your brand is protected, and that you set up operating processes which deliver the brand’s promise. Many intending franchisors first set up a model or pilot franchise, to establish what support franchisees will required. Then, when the franchise is up and running, franchisors needs to provide on-going support and training to franchisees, to enable them to grow their franchises.
We regularly advise business owners who are considering turning their businesses into franchises:
Early advice on the franchise process and pros and cons of franchising, to allow the business owner to decide if franchising is right for them
Advice and assistance throughout the franchise process, including on setting up a pilot operation, preparation of an Operations Manual, and pre-contract disclosure
Preparation of all the legal documents required, including the master Franchise Agreement, confidentiality agreements (NDA), director’s personal guarantee, etc.
Working with professional adviser partners to advise on the steps needed to protect brands, logos and other intellectual property