The franchise business will contact you by means of email and/ or telephone only to the email address and phone number you have provided.
By submitting the enquiry form you are consenting to send your personal information to the selected franchise business.
You also agree to receive further newsletter email marketing from What Franchise.
For how many terms will I be able to run a franchise?
Shelley Nadler writes:
Franchise agreements in the UK are often for a fixed term of five years, with rights to renew at the end of the term for either one or two further five-year periods. The term of the agreement and any rights to extend or renew the term will be set out in the franchise agreement.
A franchisee will want to be able to operate their business long enough for them to amortise their initial franchise investment and for the term of the agreement to be long enough for them to realise the value of their business on transfer.
Some franchisors grant lengthy terms - 20 years, for example - with no rights of renewal. In such cases, the franchisor may well offer a new franchise agreement at the end of the 20-year term, but is under no obligation to do so.
The franchise relationship should be capable of subsisting on a long-term basis as long as both parties observe their respective obligations. There may be various reasons - including legal reasons, where the agreement includes the tied supply of products - for a relatively short initial period, but most franchise agreements allow for the franchisee to be able to exercise a right of renewal.
There are usually conditions attached to renewal, such as the franchisee having performed their obligations under the agreement, refurbishment and re-equipping of the business and the franchisee having entered into a new agreement in the form of the franchisor’s then current agreement.
You might also be interested in
Answered by Vincent Anthony
Vincent Anthony writes: The property market has wide appeal because it is relevant to everyone: we all... read more
Answered by Louise Harris
Louise Harris writes: Richness or wealth is relative. We always want more, I guess. So, what is... read more
Answered by Shelley Nadler
Shelley Nadler writes: A concern that businesses may have when deciding to franchise their business, is the... read more
Answered by Alan Wilkinson
Alan Wilkinson writes: There are two elements to consider here. First is the franchise fee itself, and... read more
Exciting Franchise Opportunities
Companies to Consider
35% to 40% profit, depending on the business model
Body Fit Training (BFT)
The Travel Franchise
Operational breakeven in the first month of trading and return on capital investment from approx.18 months
£60,000-£80,000 (average earnings)
Cash positive from month 1
School of Rock
Time For You
Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
Added 3 years ago | 2 min read
Added 23 hours ago | 2 min read
Added 4 days ago | 2 min read
Find your next business opportunity
Search 100s of UK franchises and become your own boss today.
What Franchise Newsletter
Keep up to date with all the industry news