GENERAL KNOWLEDGE

Detailed explanation-1: -A franchise is a type of license that grants a franchisee access to a franchisor’s proprietary business knowledge, processes, and trademarks, thus allowing the franchisee to sell a product or service under the franchisor’s business name.

Detailed explanation-2: -The Franchise Business Model. A franchise enables you, the investor or franchisee, to operate a business. You pay a franchise fee and you get a format or system developed by the company (franchisor), the right to use the franchisor’s name for a specific number of years and assistance.

Detailed explanation-3: -Franchisor: The person or company that grants the franchisee the right to do business under their trademark or trade name. Product distribution franchisee: A franchise where the franchisee simply sells the franchisor’s products without using the franchisor’s method of conducting business.