Franchise Definitions
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Advertising Fee
Advertising Fee is the annual fee that is paid by the franchisee to the franchisor as his share of the corporate advertising expenditures. This advertising fee is charged by few franchisors only.
Advertising Fund
Another continuing periodic payment to the franchisor that, like the royalty payment, can be a fixed amount or a percentage of gross sales.
Agent
An agent is an individual appointed who can act on behalf of the person or entity.The corporation is legally bound by the actions of the agent.
Agreement
Agreement definition, Agreement is the "contract" that signifies a franchise.
Arbitration
Arbitration is a way of resolving disputes by referring it to a third party which is selected by the parties.
Area Development Rights
The rights alloted to a franchisee to operate a number of franchises within a specified geographic area.
Area Franchise
A franchise licensed to develop a particular area.This Area Franchisee sometimes includes performance targets and schedules.It can also include franchise sales rights.
Assignment Fees
The monthly fees paid by the franchisee to the franchise company for expenses incurred by the company like corporate marketing and advertising.
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