Franchising

• The nature of the franchise / need for compliance
• Territory of the franchise, i.e. the area it covers
• The extent of the initial payment
• To what does initial payment entitle the franchisee
• The split of the initial payment split (e.g. fee? advertising? etc.)
• Franchisee’s liability for royalty payments?
• Minimum Guarantees, if relevant
• Intellectual Property (“IP”) issues (please see also our IP section)
• Conditions for termination
• That the franchisee is satisfied with the elements the franchisor contracts to provide
• The premises
• How extensive the right of audit by the franchisor is
• The position after the initial period of the franchise / transfer of the business
• Restrictive covenants, i.e. restrictions after the franchise is ended

Our Commercial & Company lawyers will advise on the advantages and disadvantages of a franchise relationship in order that a informed decision can be made.