A Franchise Disclosure Document (FDD) provides prospective franchisees with information about a franchisor, the franchise system, and the agreements they will need to sign so that they can make an informed decision. The disclosure document provides constructive and reliable information about the franchise. It also provides franchisees with current information about the franchise that they need to run their business. Franchise disclosure document development is therefore of vital importance to a franchisee, as it is includes information designed specifically to educate franchisee’s about a particular franchisor, its network, and operations. At, Franchise Administration, we can assist with drafting a comprehensive FDD for you to make informed decisions in the franchising…

The franchise operations or training manual is the blueprint and how-to guide of a franchise system. Within the manual, franchisors provide detailed information about system standards, operating procedures, suppliers, and requirements for the development, marketing, and operation of a franchised business. Franchise manual development is vitally important, even more so as a franchise system grows. Over time, the franchise manual becomes the communications hub that communicates all system standards and operational requirements that franchisees must follow. For franchisors, the role of the operations manual is to organise, document, and communicate the operational requirements, systems, and procedures for franchisee training, including the establishment and running of the business. Although operational in…

The Franchise Association of South Africa (FASA) is the oldest internationally recognised Franchise Association on the continent. FASA is responsible for the roll-out of ethical franchising in South Africa. The Association protects, lobbies, promotes, and develops ethical franchising across various sectors in South Africa, with key focus on transformation. The Franchise Association of South Africa (FASA) is Mandated to: Franchising is accepted as one of the most successful business formats on a global scale. FASA’s role is therefore to continuously promote the advantages of franchising to South African business entrepreneurs, prospective franchisees, and to the public at large. FASA holds the distinction of being one of the first countries globally…

A franchise agreement is a legally binding contract that sets out the rules of the franchising relationship that both the franchisor and franchisee have agreed to. The main purpose of this contract is to protect the intellectual property of the franchisor. In essence, a franchise agreement explains what the franchisor expects from the franchise in running the business. The agreement is also designed to ensure that all of the franchisees within an organisation are treated equitably. Franchise Administration can assist with franchise agreement development, for compliant and ethical franchising across South Africa. Key Components of a Franchise Agreement Development include: For more information and assistance do not hesitate to contact…

The Franchise Association of South Africa (FASA) is the oldest internationally recognised Franchise Association on the continent, responsible for the roll-out of ethical franchising in South Africa. The Association holds the distinction of being one of the first countries globally to adopt a Code of Ethics and Business Practices. With franchising globally accepted as one of the most successful business formats, FASA franchise accreditation is imperative for South African franchises. FASA’s role is to continuously promote the advantages of franchising to business entrepreneurs, prospective franchisees, and to the public at large. The Association protects, lobbies, promotes, and develops ethical franchising across all sectors in South Africa, specifically focusing on transformation.…

In the business realm, various strategies and methods are employed to expand a company’s reach and market presence. Two popular approaches for expanding a business are licensing and franchising. Franchises and licenses are both business agreements in which certain brand aspects are shared in exchange for a fee. The key difference with franchising verses licensing is that a franchising agreement pertains to a business’s entire brand and operations. A licensing agreement conversely only applies to registered trademarks. Delving more into the differences between licensing and franchising; franchise agreements involve an extensive business relationship between the franchisor and franchisee. However, license agreements are limited and relate to a singular activity, including…

It is vitally important to know how to franchise a business idea to ensure steady business and long-term customers relationships. Franchising is a type of agreement that reproduces a successful business model across multiple locations. Franchising is a contractual business model or relationship whereby an established brand, known as the ‘franchisor,’ allows an independent business owner, the ‘franchisee’, to use its branding, business model, and other intellectual property. In return, the franchisee agrees to pay an upfront franchise fee, and ongoing royalties to the franchisor. In this way the franchisee enjoys low risk and a support system, and the franchisor enjoys expanding their business idea. The franchisee is instantly propelled…

The first step to turning a business into a franchise is understanding that a franchisor is the original business, and it sells the right to use its name and concept to the franchisee. The franchisee buys this right to sell the franchisor’s goods or services under an existing business model and trademark. Turning the business into a franchise is very lucrative avenue in South Africa, as it allows for business expansion of an increased scale, better market penetration, simpler management, and decreased costs. Steps to Turn your Business into a Franchise: Like every profitable business decision, franchising and the decision to franchise your business needs to align with your long-term…

Franchising is an agreement or license between two legally independent parties; a franchisor, who establishes the brand’s trademark and business system, and a franchisee, who does business under the franchisor’s name and system. Franchising is an excellent way of expanding a business that is already successful. This business model allows businesses to branch out and grow, whilst providing entrepreneurs and smaller business owners with an opportunity to run their own operations, with the help and support of a larger organisation that possesses a proven formula for success. This is because franchises have an established brand and reputation that attracts customers and builds trust. Franchisees in this way, benefit from the marketing and…