FREE 5+ Sub Franchise Agreement Samples in PDF | MS Word | Google Docs

It’s very often that we hear the word “sub franchise” in our business vocabulary, But what is really Sub Franchise? This is a term used to describe the relationship between the franchisee and unit franchisee in the systems wherein both parties decide to expand the business internationally. The term franchise basically refers to the relationship between the franchisor and the franchisee that establishes and executes the terms and conditions stated in the franchise industry. These definitions are not quite far from each other but are interdependent in understanding the concept of sub franchising. This agreement is a very essential document because it embodies all the terms, agreements and all other matters needed to be discussed that allows the sub franchisee to exploit all the information, intellectual property rights, hand-in-hand manuals and all the other necessary information to run the business.

Given the importance of this document, the Sub Franchise Agreement can be conveniently done through looking into our sample templates presented below. This article does not only give you essential templates to choose from but also relevant information that you can use in the process of drafting and completing your Sub Franchise Agreement.

5+ Sub Franchise Agreement Samples

1. Sub Franchise Agreement

2. Sample Sub Franchise Agreement

3. Simple Sub Franchise Agreement

4. International Sub Franchise Agreement

5. Annotated Sub Franchise Agreement

6. Sub Franchise Agreement Example

What Is a Franchise Agreement?

Franchise agreements are important and necessary legal contracts between the franchisor and the person interested in opening a franchise. According to federal law, these multiyear arrangements must include key provisions, including a fee schedule and the use of a trademark or trade name, to be considered proper franchise agreements. A franchise agreement is a binding legal document between a franchisor and a franchisee. This document spells out the expectations, obligations, permissions and restrictions for operating the franchise. A franchise agreement also outlines a fee schedule that the franchisee pays to the franchisor, including amounts or percentages and the frequency of payments.

What Are Usually Included In A Franchise Agreement?

According to Goldman, three elements must be included in a franchise agreement:

• A franchise fee. Some amount of money must be paid by the franchisee to the franchisor.
• A trademark or trade name. The franchisee must be given permission in the agreement to use the franchisor’s intellectual property, such as logos and trade names.
• A marketing system or a method of operations. The franchisee must be provided with either a system for marketing and advertising, such as posters and promotions, or with proprietary information on how to run the franchise so it looks and feels like others with the same name. Goldman noted that some franchise agreements provide both, depending on the type of franchise. For example, a restaurant may provide a marketing system and a method of operations, while a janitorial service may provide only a method of operations.

FAQs

With this, it is highly urged of everyone who wishes to craft this document to make everything as accurate, precise and concise as possible. It should be clear enough to include and be understood by the parties involved. sample Templates offers you not just mediocre templates but incompetent ones that can supply you with all the needed information as you go along the process of making your Sub Franchise Agreement form. Browse through these templates and customize the template of your choice.