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When a store pops up and starts its business operations, it is guaranteed to have another branch. The other branches can extend within the country or go to another territory. Successful businesses like McDonald’s and Burger King have branches worldwide. To do this, business owners use the concept of franchising.

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Businessmen resort to franchising to spare themselves of starting a business from scratch. With this, a franchise application form is needed to carry out the necessary processes. Check our collection of templates and see what you can use. You may also see membership application templates.

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Franchising And The Way It Works

When we hear the word “franchising”, we just automatically think it’s about a business having multiple stores all over the city. Sure, it is an expansion of business, but it is much more than that. It entails a lot of things to do and decisions to make.

Franchising is the concept in business wherein a franchiser (the one giving the franchise) grants the franchisee (the one receiving the franchise) the rights and responsibilities to use the store’s branding, logo, name of the business, its business model, intellectual property and selling of products and services. A similar store is being run by the franchisee. He has to follow every bit of the business model in running the store. The franchisee also has to pay fees to the franchiser as part of the contract. You may also like how useful are job application forms in recruitment.

Franchising is an easier way of starting a business than building up from scratch. It is also much cheaper. Higher rates of success can be achieved. The term of the franchise depends on the contract. It may be as short as a year or has no fixed term, meaning it can go on for a long time. For the part of the franchiser, he finds the location of the store for the business to operate smoothly. An accessible store has good chances of success. He also takes care of training the franchisee in terms of some aspects such as accounting, marketing and merchandising. He provides financial support for the business. You may also check out school application templates.

Before buying a franchise, review the agreement well to see if there are questionable areas that need to be brought up. Franchising makes you dependent on the business model than in running a stand-alone business. The franchise agreement needs to be followed at all times. The money franchisees pay to the franchisers can skyrocket into high amounts, which could have been used to invest in a business. Another thing about franchising is the reflection of the damage bounces to both the franchiser and franchisee, which might affect business operations and dealings in the future. You might be interested in loan application templates.

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How To Apply For A Franchise

Applying for a franchise takes time and money. You have to think and rethink if it is worth it. Franchises have a business model that is ready for use anytime. Before going into franchising, you need to know these things in order to get there.

1. Do a research.

Gather all your data about the company you’d want to do a franchise with. Study it carefully, especially their franchising rules. Research about the kind of franchise that suits your needs as a businessman. With all these information, you now have an idea what to do and what product you really want to sell. Some companies need a prior experience in franchising. If you don’t have previous experience in that, there are still other positions that you can fill in. You may also see student application form templates.

2. Visit the company.

Take some time to visit the company you are franchising with. Talk to them about your intention for franchising and fill out the franchising application form. Every company has its own standards and rules for franchising. It doesn’t hurt to choose other companies if the one you’re rooting for has high standards.

3. Write a business plan and pass requirements.

Write down a detailed business plan that include market demographics, costs, employee needs and revenues. You should also discuss the business model in this part. After that, you need to pass the required documents needed for franchising. The requirements are different for each company so better prepare more copies than one. You can submit the application after. You may also like rental application form templates.

4. Review contracts and the final agreement.

After getting the approval and contracts, review them and try to see if there are unclear parts. Bring it up to the franchiser for clarifications. Review the final agreement before signing it.

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Pros And Cons Of Franchising

Franchising is almost everywhere around the world. When you go to another country, the chances of seeing another McDonald’s restaurant along the road is close to impossible. It built a league of its own in the business world. There is a fair share of pros and cons to it as well. You may also see daycare application forms.

1. No need for experience.

Running a franchise of a business needs no prior in running previous businesses. You are just expected to follow what is on the franchise model and do it your way. This also gives you another kind of experience in running a business.

2. Higher success rate.

If a store is successful and has many franchises, it gives a higher success rates to aspiring franchisees compared to starting a business from scratch. Every process in the store just have to be followed. The reputation of the store also helps in increasing its chances of success. When a business is built from scratch, it only results into either success or failure. It all depends on the owner’s way of running it. You may also like apprenticeship application forms.

3. Secured financial support.

Franchisees are secured with financial support from the franchisers themselves once the business is franchised. The company gives every bit of money the franchise store needs for it to work better. Financial support is a very important agent for a business to run well. You wouldn’t have to look for the capital to start the business anywhere else.

4. Fast growth and lesser risk.

Franchising offers fast growth of business. There is only little worry of being overtaken by competitors and it develops a plan on how to improve the products. Getting a franchise entails lesser risk in the part of the franchiser since it only serves as an extension of the business. There is no need to restructure everything completely, unless the franchisee decides to do so. You may also check out internship application form templates.

5. Increase of manpower.

Franchising increases manpower for the business. More and more employees will be added to carry out the assigned tasks in the franchise store. The employees can be assigned in other stores as well.

6. Little room for creativity.

Since franchising already follows a franchise model, you are expected to follow it. There is little room for creativity and it ends up not getting used even if you want to. Everything is based on the model from the logo, jingle, and products to sell. You are being told on how to run the business. There’s no need for creating something new, especially when it is uncalled for. You might be interested in simple job application form templates.

7. Sharing of profit with franchiser.

When you franchise a business, all the profit does not go to you alone. The franchiser gets half of the profit the store makes. This might put you into a disadvantage but it is the rule of the thumb in franchising.

8. Lesser control.

The franchiser gets lesser control over the franchised store. It is the franchisee’s job to hire and terminate employees, oversee daily operations and the inventory.

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Most Successful Franchises In The World

As we have said before, franchising can bring high rates of success due to its stability and strong kind of branding. Nothing needs to be changed except for the people handling the franchise and the arrangement of the business store itself. Some of the famous brands we know have franchises all over the world. They have been at the top spot since its founding and have enjoyed massive patronage from the people since then. You may also see what you need to know about lease application forms.

1. McDonald’s

McDonald’s was founded in 1940 by Richard and Maurie McDonald and has remained to be the world’s most successful franchise ever since. The stiff competition in the fast food industry did not shake up McDonald’s. It is the world’s largest restaurant chain.

2. 7-Eleven

7-Eleven is a Japanese-owned American convenience store chain and was founded in 1946. It operates in 18 countries with 64,319 stores as of 2018. It sells various products such as processed food, beverages, sweets, coffee, stationery, and a whole lot more. You may also like application form samples.

3. Dunkin’ Donuts

Dunkin’ Donuts is an American coffeehouse and doughnut store which operates in 36 countries with 12,000 stores. It sells doughnuts, bagels, hot and iced coffee, and munchkins. Dunkin’ Donuts became one of the largest franchises in the world. It was founded in 1950 by William Rosenberg.

4. KFC

KFC stands for Kentucky Fried Chicken. Founded by Harland Sanders in 1930, KFC is known for its unique taste of fried chicken, made with 11 specials herbs and spices. KFC’s headquarters is located in Kentucky. The fast food chain also serves small side dishes like French fries and brownies. You may also check out insurance application form templates.

5. Starbucks

Starbucks is a coffee shop chain which has 27,339 stores worldwide. It was founded in 1971 and have been serving hot and cold coffee, milk, pastries, ice cream and other packed coffee goods. These products are also sold in grocery stores. Kevin Johnson is the current chief executive officer of Starbucks. You might be interested in funding application form templates.


Franchising does a big help for businessmen and those who want to enter the business world. It is something some businessmen are skeptical at in the first place, but it’s worth the risk if you have the right people with you.

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