The franchise agreement is a key document, as it sets out the agreement between you and your franchisees. It must cover everything necessary to protect you and your franchisees’ interests. Write up a list of items you want to cover such as ownership, fees and royalties, standards of operation, costs, disputes procedures, coverage/territory, security, responsibilities, training and support and the conditions that may require you to terminate a franchise agreement.
It’s wise to engage a lawyer who specialises in franchising when you begin to draw up your franchise agreement. They can help you avoid any future issues or conflict by ensuring the terms and conditions of the agreement are clear.