In order to obtain the right to operate a franchised business, a potential purchaser of a franchise will be required by the franchisor to enter into a franchise agreement. The potential purchaser of a franchise must closely consider each and every provision of the franchise agreement in considering the financial viability of a franchise opportunity. The franchise agreement will contain a number of detailed provisions that deal with a multiple of issues including the payment of a royalty fee, how the franchised business is to be operated and when the franchise agreement may be terminated.

type Understanding The Term – Term and Renewal Provisions in Franchise Agreements