Presentation On Franchise Document

PRESENTATION ON FRANCHISE DOCUMENT

by Meena chaudhary

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The franchise agreement is the cornerstone document of the franchisee--franchiser relationship. It is this document that is legally binding on both parties, laying out the rights and obligations of each.  The agreement will contain provisions covering, in considerable detail, the obligations of the franchiser (the company) and franchisee (you) regarding operating the business 

FRANCHISE DOCUMENT

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The F.T.C. Rule 436 Requiring Full Disclosure Makes it Necessary to Have a Written Agreement

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All the Parties Have an Understanding of the Basics on Which They Will Operate

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Equitable Relationship

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Insures Uniformity

 Establishes Standards of Performance Why Franchise Agreement is  Needed? Protects All the Parties 

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Provides for Remedies in the Event of Default

GRANTING OF RIGHTS  The Franchisor hereby grants to the Franchisee the right to perform Operational Activities, and use the Trademark 

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BUSINESS SITE AND AREA The Franchisee shall not change the location of its Establishment without the Franchisor’s prior written consent

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QUALITY STANDARD In performing the Operational Activities, the Franchisee shall follow the quality standard

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REGISTRATION OF AGREEMENT The Franchisee shall register this Agreement with all related information to the appropriate authority no later than 30 (thirty) business days after the date of this Agreement

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FRANCHISE AGREEMENT

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ADVERTISING The franchisor will bear all the cost on the advertisement of his products , services .

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TRAINING & TECHNICAL ASSISTANCE The Franchisor will execute training programs concerning particular matters as required for the implementation

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FRANCHISE PRODUCTS The Franchise shall sell the Franchisor’s Products to the Franchisee

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FRANCHISE FINANCING In order to ensure the sustainability of the Operational Activities, the Franchisee has to manage to provide initial investment of the franchise operation by its own effort before signing this franchise agreement.

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EQUIPMENTS AND MACHINERIES The Franchisee must use equipments and machineries that must be purchased and/or leased by the Franchisee from the Franchisor.

FRANCHISE AGREEMENT

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REPORTING, CONTROLLING AND INSPECTION Franchisee must Keep Complete Records as Prescribed by the franchisor and provide reports. Franchisee allow franchisor for inspection

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FEES AND PAYMENT METHOD The Franchisee shall pay a Franchise Fee to the Franchisor, which comprise of: a. Franchise Fee . The Franchisee shall pay the Franchise Fee prior to the signing of this agreement.

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TERM AND EXTENSION OF AGREEMENT This Agreement shall be valid for 5 (five) years from the date this Agreement is signed. Extension of this Agreement may be extended upon the agreement of the Parties, for additional period of 5 (five) years

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TERMINATION OF AGREEMENT Each Party is entitled to terminate this Agreement in the event of . the occurrence of an event of default under of this Agreement

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CONFIDENTIALITY The Franchisee, its affiliates, executives, directors, employees, and agents shall keep confidential all information and Manual obtained from the Franchisor

FRANCHISE AGREEMENT

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GOVERNING LAW This Agreement and the rights and obligations of Parties shall be executed and interpreted in accordance with the laws of the [YOUR COUNTRY]

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DISPUTE RESOLUTIONS All disputes arising between the Parties shall be settled through mutual discussions within 14 (fourteen) calendar days

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NOTICES Any notice shall be in writing and shall either be personally delivered or transmitted by prepaid registered mail

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ASSIGNMENT This Agreement, including the rights and obligations contained herein, may not be assigned by the Franchisee to any other third party without prior written approval from the Franchisor.

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INDEMNITY The Franchisor shall not be responsible for any losses or damages which may be suffered, directly or indirectly, by the Franchisee

FRANCHISE AGREEMENT

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There is no standard form of franchise agreement because the terms, conditions, and the methods of operations of various franchises vary widely depending on the type of business involved

CONCLUSION

THANKS