Franchising is a method of distributing goods or services to consumers. The franchise system owns the right to the trademark of the business. The franchisee purchases the right to use the trademark and operating system.

Most people associate the word “franchise” with fast food restaurants. But, there are many more types of franchise businesses, including everything from advertising to automobile repair, printing services to party supplies and many more.

Franchise Types:

• Product Distribution Franchise:
  In this type of franchise, the franchisee sells products manufactured by the franchisor.
  Examples include: Coca-Cola, Goodyear and Ford Motor Company
  
• Business Format Franchise:
  In this type of franchise you are purchasing a complete system for delivering the product or service and for doing business. It is the system that produces consistency which is the basis of the franchise’s success. Examples include: McDonalds, AMMCO and Great Clips.

• Single Unit Franchise
• Multiple Units
• Master Franchise
• Area Developer