Some Characteristics of Franchise are:
- A franchise is a business where someone operates under a well-known brand, guided by the parent company.
- The franchisee is not personally responsible for the parent company’s debts but is financially liable for their own business operations.
- Setting up a franchise involves significant costs, including fees and payments to the parent company.
- The parent company provides training, support, and marketing assistance, but franchisees must follow strict rules, limiting decision-making freedom.
- Franchisees keep part of the profits but share a portion with the parent company.