A franchise (or franchising) is a method of distributing products or services involving a franchisor, who establishes the brand’s trademark or trade name and a business system, and a franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system, as defined the by International Franchising Association.
Usually there are three main types of franchises:
1. The franchisor licenses a business format, operating system, and trademark rights to its franchisees. This is the most common business format,
2. The franchisee gets a permission to sell or distribute products using their logo, trade name and trademarks, without the operating system to run the business,
3. The franchisor permits the franchisee to manufacture their products and sell them under its trademarks.
Franchising has been on the rise in Europe, however the industry remains largely unregulated. It is up to the member states (of European Union) or the rest of the non-EU states to regulate the matter in their own legislation.
We have created a FREE detailed guide on legal aspects of buying a franchise in SELA covered countries:
• Bosnia & Herzegovina
• North Macedonia
In this report you will learn:
1. Laws that regulate franchising in each country
2. Procedure for buying a franchise
3. Main contracts required when buying a franchise
4. Main elements a franchise agreement must contain
5. Legal obstacles when buying a franchise
To download the report, click here or on the Download button below.