Question

Explain the four main ingredients of a 'Franchise Agreement'.

Answer 1

1. Rights and Obligations:
   Defines the franchisee's rights to use the brand and business model, along with their responsibilities to maintain quality and operations.

2. Financial Terms:
   Details the franchise fees, royalties, advertising costs, and payment schedules.

3. Support and Training:
   Specifies the franchisor's commitment to providing training, operational guidance, and marketing support.

4. Duration and Renewal:
   States the agreement's length, renewal terms, and conditions for termination.