What happens is a person or company (the franchisor) grants the license to a third-party person or company (the franchisee) to conduct business using the franchisor’s products/services. The franchisor also provides the franchisee with an operating system, brand and support.
Simply put, in a business franchise an established brand/company will allow you to sell its products/services by selling the license to you.
Franchising is a more risk-free business endeavor for newbie entrepreneurs because they don’t need to build a brand and an audience. Because you get to sell products from a known and established brand, the better the chances that your business will not fail.
Another benefit of getting a franchise is usually the company provides franchisees with the equipment and the products needed to run the business as part of the package, so starting your operations will be less of a hassle.
Our top 10 Business Service ideas in Franchises for 2019