Board Resolution for Franchise Agreement
Prepared by: [YOUR NAME]
Email: [YOUR EMAIL]
This Board Resolution formalizes the decision of [YOUR COMPANY NAME] to enter into a franchise agreement. The document outlines the key aspects of the resolution and the actions authorized by the board of directors. Below is the structure of the resolution based on the company’s intentions to initiate a franchise agreement.
I. Approval of Franchise Agreement
The Board of Directors of [YOUR COMPANY NAME], a corporation with its principal office located at [YOUR COMPANY ADDRESS], hereby approves entering into a franchise agreement with [FRANCHISOR NAME] on the terms and conditions outlined in the attached document. This approval allows the company to proceed with negotiations and finalize the franchise agreement.
Date Approved: March 15, 2050
Effective Date of Franchise Agreement: April 1, 2050
II. Designation of Authorized Signatory
The Board of Directors hereby designates [AUTHORIZED PERSON’S NAME], [AUTHORIZED PERSON’S TITLE], as the individual authorized to sign and execute the franchise agreement on behalf of [YOUR COMPANY NAME]. This authorization includes the power to negotiate, amend, and finalize the terms of the agreement as necessary.
Authorized Signatory:
Name: [AUTHORIZED PERSON’S NAME]
Title: [AUTHORIZED PERSON’S TITLE]
Contact Information: [AUTHORIZED PERSON’S EMAIL]
III. Approval of Franchise Terms
The terms and conditions of the franchise agreement, including fees, intellectual property usage, operational standards, and other business commitments, are hereby approved by the Board of Directors. These terms are consistent with the strategic goals of [YOUR COMPANY NAME] and have been reviewed by the legal and financial advisors of the company.
IV. Franchise Expansion or Initiation
The Board approves the initiation of the franchise business expansion under the terms of the signed franchise agreement. The franchise will be operated in accordance with the operational standards and guidelines set forth by [FRANCHISOR NAME].
Franchise Location(s):
[LOCATION 1]
[LOCATION 2]
V. Financial Commitments and Investments
The Board authorizes the company to make the necessary financial commitments for the opening and operation of the franchise locations, as outlined in the franchise agreement. These financial commitments include the franchise fee, real estate leases, and initial equipment purchases.
Estimated Initial Investment Breakdown:
Item | Estimated Amount ($) |
|---|
Franchise Fee | 50,000 |
Real Estate Lease (Annual) | 120,000 |
Equipment Purchases | 75,000 |
Marketing and Branding | 30,000 |
Total Estimated Investment: $275,000
VI. Legal and Compliance Review
The Board acknowledges that the legal department of [YOUR COMPANY NAME] has reviewed the franchise agreement to ensure compliance with applicable laws and regulations. The company’s legal advisors have confirmed that the agreement meets all legal standards necessary for the company's operations.
VII. Franchise Renewal or Modification
The Board also authorizes the [AUTHORIZED PERSON’S NAME] to oversee the renewal or modification of the franchise agreement, should this be necessary after the initial term. The process will follow the guidelines as outlined in the agreement and will require further board approval.
VIII. Conclusion
This resolution serves as the official approval by the Board of Directors of [YOUR COMPANY NAME] to move forward with the franchise agreement. The designated individuals are authorized to take the necessary steps to finalize the agreement and launch the franchise business as planned.
Date of Resolution: March 15, 2050
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