Franchising Agreements

If you have developed a highly successful business model and recognisable brand, franchising agreements can be used to boost revenue and expand market reach to grow your business.

What is franchising?

Franchising involves achieving a successful business model that is profitable, so that another business owner, who is granted a licence to use your intellectual property, business format and experience, can follow your success.  Franchising agreements are important to have in place with any franchisee to govern how your intellectual property can be used and replicated in the business franchise.

In return for being permitted to use the IP of the franchisor, the franchisee usually pays an initial fee and royalties based on a percentage of turnover or profit. Franchising agreements allow the franchisor to grow their business without having to open, staff and manage new premises, branches or outlets themselves. This means the franchisor can extend this part of its business without having to raise capital to do so, while still retaining considerable control over what the franchisee does with the business.

The franchisee is able to manage what is effectively its own business, which has been thoroughly tested by the franchisor already, and is able to make reasonable use of the franchisor’s business expertise and model. For the franchisee, franchising agreements represent a low risk method of going into business using a tried and tested formula.

tidman-icon-blue

How can we help you

The exact content of franchising agreements will depend on the type of franchisor and franchisee and we will advise you on the best approach to take before entering into a franchising agreement to grow your business.  Franchising agreements should consider the following:

  • obligations of the franchisor and franchisee
  • intellectual property
  • payment provisions
  • confidential information
  • education and training programmes
  • duration
  • warranties
  • termination

Franchising agreements should be drafted and reviewed on behalf of both parties by experienced lawyers to ensure that both parties’ interests are protected, and that neither is exposed to unreasonable legal or commercial risk.

To speak to one of our expert business solicitors to prepare or negotiate franchising agreements, contact us by calling 0131 478 4724, or complete our online enquiry form to request a call back.

Contact Us

Arrange a meeting

If you are looking for expert advice for your business, speak to our expert business solicitors today. Call us on 0131 478 4724, or complete our online enquiry form and a member of the team will get back to you.

Setup Introductory Meeting

Latest NewsFrom the blog

UK Trademark Solicitors

IP Audit for SMEs: Why Do SEPs Matter?

January 28th, 2026|Comments Off on IP Audit for SMEs: Why Do SEPs Matter?

IP Audit for SMEs: Why Do SEPs Matter? A recent update from the UK Intellectual Property Office (UKIPO) serves as a timely reminder that understanding your IP position early by way of [...]

Preparing Your IP Strategy for 2026: A Checklist for Startups

December 29th, 2025|Comments Off on Preparing Your IP Strategy for 2026: A Checklist for Startups

Preparing Your IP Strategy for 2026: A Checklist for Startups As the year comes to a close, now is an ideal time to lay the groundwork for a strong IP strategy for [...]

Business
SERVICES

Copyright
SERVICES

Trademarks
SERVICES

Design Rights
SERVICES

Patent
SERVICES

IP Audit
SERVICES