FRANCHISE LAW
Franchise Law Articles
Plain-English analysis of FDD reviews, franchise agreements, exit strategy, and ongoing counsel for franchisees and franchisors.
482 articles
Franchise Territory Definition Checklist for Franchisors
Defining franchise territories well means answering seven questions before you sell your first franchise: how much market each territory must contain, how its …
Can a Franchisee Own Other Businesses or Franchises?
Usually, yes — you can own other businesses and even other franchises while operating as a franchisee, as long as they don’t compete with the brand …
Franchise Financial Projections Cheat Sheet
Every reliable number in a franchise financial projection comes from four places: Item 19 of the franchise disclosure document (FDD) — the only place a …
How to Franchise a Handyman Business
Franchising a handyman or home-repair business turns your scheduling, pricing, and quality standards into a system other owners can run the same way in new …
Franchising Mobile Food Trucks: Territory, Permits, FDD
Franchising a mobile food truck means taking a business with no fixed address and forcing it into a legal framework — territories, permits, brand standards — …
Franchise Application Form: What It Is and How It Works
A franchise application form is the franchisor’s pre-qualification questionnaire — a screening tool that collects a candidate’s net worth, liquid …
Franchise Agreement Changes in Fast Food: What to Know
Fast-food franchise agreements are shifting toward higher ongoing costs and tighter control — bigger advertising-fund and technology obligations, mandatory …
FDD Renewal: Deadlines and Steps for Franchisors
FDD renewal is the franchisor’s yearly obligation to update its Franchise Disclosure Document and re-register it in every state that requires …
How to Exit a Franchise Agreement
You can exit a franchise agreement in three main ways: sell the business to a franchisor-approved buyer, negotiate a mutual termination with the franchisor, or …
Franchise Evaluation Form: A Franchisor's Guide
A franchise evaluation form is a standardized scorecard a franchisor uses to assess each unit on the same criteria, on a regular schedule. Done well, it turns …
How Franchisors Support Underperforming Franchisees
A franchisor supports an underperforming franchisee by diagnosing the cause early, then applying graduated help — retraining, operational coaching, marketing …
Franchising Liquor Stores: Texas Laws, Licenses & Pitfalls
Franchising liquor stores is harder than franchising almost any other retail concept, because the asset that makes the store work — the liquor license — is …
Tax Implications of Franchising Your Business
When you franchise your business, the IRS generally treats both your initial franchise fees and your ongoing royalties as ordinary income — not capital gain — …
FDD Renewal Mistakes Franchisors Must Avoid
The costliest FDD renewal mistakes are missing the deadline, carrying over stale data, and making earnings claims you cannot support — and any one of them can …
Recession-Proof Franchises: What to Look For
No franchise is truly “recession-proof,” but the ones that hold up in a downturn share three traits you can verify before you sign: they sell …
Franchise Broker Performance Metrics Checklist
Measuring a franchise broker’s performance comes down to five things: the quality of the leads they send (not the volume), how candidates convert at each …
Franchise Disclosure Document (FDD): All 23 Items Explained
A Franchise Disclosure Document (FDD) is the legal disclosure document every franchisor must give you before selling you a franchise. The FTC’s Franchise …
Why Understanding Franchise Law Could Save Your Business
Franchise law saves businesses for one simple reason: nearly every expensive failure in franchising is a preventable one. Franchisees lose their savings to …
Franchise Compliance: A Guide for Franchisors
Franchise compliance is the franchisor’s ongoing duty to follow federal and state franchise law and to enforce its own brand standards across every unit. …
Franchise Marketing & Advertising Support Guide
Marketing and advertising support is one of the main reasons a franchisee pays to join your system instead of opening an independent business — and how you …
