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Does a franchisor ever award more than one trading territory?
It is often the case that franchisors will award more than one trading territory, but it depends on the type of franchise and the size of territories granted. If a franchisee is to be granted a second territory, this may involve the franchisee employing a manager to help him and there are some franchisors who may feel that, due to the particular circumstances of the business, they only want the franchisee and not a manager to carry on the business. There may be other types of franchise businesses where the franchisee takes on a management role and employs others to perform the services or sell the products. This kind of franchise can make it easier to add on additional territories where the franchisee is already operating successfully in his original territory. Many franchisors are happy to grant successful franchisees rights to operate the franchise business in another territory. This is particularly common in restaurant franchises where individual outlets are managed by store managers and the more outlets that a franchisee operates brings economies of scale. Franchisors in this sector have allowed franchisees to operate 20 or more stores. Other restaurant franchisors have placed a lower limit on the number of stores that franchisees can operate, as they require the franchisee to devote more of his time and attention to each individual store.
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Exciting Franchise Opportunities
Companies to Consider
No Letting Go
Third party and personal investment
In excess of £70,000
The Christmas Decorators
Yes, via third party
To be discussed
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