Franchise (or franchising) is the long-term and permanent business partnership that franchise owner of a system and brand let independent investors use his system and brand for a certain fee and providing permanent discipline and support relating to management and organization of the business within certain period, conditions and limits.

• It is possible to use techniques and procedure of an operating system with a brand tested before, success of which was proved and well -recognized.

• National and international Standard and quality are owned with the brand.

• The enterprise granting franchise provides training services and specialist personnel support to the franchisee.

• Techniques of franchisor are benefited relating from finding high quality personnel, recruitment and training.

• Technical functions are focused with the support given for financial, commercial and personnel and chance of success is increased.

• Risks and business management problems that small business administrations may face are minimized by acting jointly.

• Franchisee benefits from financial and legal advisor of the franchisor.

• Research and development efforts done continuously by the franchisor are benefited.

• It is possible to use scientific techniques for the selection of establishment place and at the stage of establishment.

• It is possible to provide financial support from sources such as leasing, etc. at the establishment stage. Saving from advertisement and promotion is ensured.

• Franchising system decreases risks arising from establishing own business by eliminating the solitude of the entrepreneur.

• Although payments made to the franchisor is more than pre-investment of the new business at the beginning, it is less than the amount of errors to be made for tested business.

• Standard management, accounting, sales and stocking functions are possible for enterprises.

Mado and Franchising

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