When a brand is looking at expansion by establishing a Master Franchise in India. There are a lot more formalities, legalities to be looked into while establishing a Master Franchise in India.
Master Franchise Agreement – It is usually prepared for the franchisor to be given to the franchisee who is looking at expanding the brand presence in the whole country. This includes large regions, considering different zones within the country, a city on a larger perspective.
Single-Unit Franchise – A unit franchise is when the franchisor gives the franchisee the right to open single unit of their franchise. It is to understand the market dynamics and capabilities of the franchisee.
Multi-Unit Franchise Agreement – In this type of franchise agreement the franchisor gives the franchisee the permission to open and operate more than one unit of franchise business. Here, the franchisee is told to develop a few pre-determined numbers of units to be set up. In case he/she fails the franchisor can opt for another franchisee.
Area Development Franchise Agreement – This type of franchise is similar to Multi-unit franchise. The only difference is the franchisor grants an exclusive right to develop franchisees in that location. No other franchisee is given permission to set up a franchise there.
It is also important here to understand that, there are many similarities between an area development franchise and master franchise. One must seek expert advice in this domain for understanding the nuances of these terms and their applicability.
At Sparkleminds we also work out the most suitable Master Franchise Agreement India, we have worked extensively on this domain and have a few good brands to expand and establish a master franchise in India. A few of the things that have to be looked into while preparing a master franchise in India are – the brand has to decide the best location to set up a master franchise in India, what are the rules and regulation to be predefined.
There are a lot of international brands expanding in India via Master Franchise in India, it is also important for local businesses to understand and also establish a set, pre-defined master franchise rules for their own brand as well. With the team of experts at Sparkleminds, we will build the most feasible and perfectly applicable master franchise in India for your brand. We can help you with a few good Master franchise agreement samples India which could be of your reference in order to draft your master franchise agreements on the same lines.