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.
Close
How much would it cost to get out of a franchise agreement?
A great majority of franchise agreements in the UK last for between five and 10 years. Franchisees are committed for this period and do not have the ability to terminate the franchise agreement. The reason for this is that franchisors need to make sure that franchisees are committed to the franchise business. The franchise agreement will contain detailed and tough provisions which enable the franchisor to terminate if the franchisee is in breach. There will be no such provisions in favour of the franchisee who could, nevertheless, still be able to terminate the agreement if the franchisor committed very serious breaches of the franchise agreement. This is because there is a rule of common law that if one party to a contract commits breaches which go to the root of the contract then the innocent party can terminate. If a franchisee wished to walk away then they would be in breach of contract and the franchisor could terminate the agreement and sue the franchisee to recover the loss which the franchisor will incur. Normally this loss is calculated by multiplying the continuing fees that a franchisee would pay in each year of the agreement, multiplied by the remaining years of the franchise agreement, less about 50 per cent.
You might also be interested in
Answered by Brian Duckett
Franchising offers a route into business ownership that is often less risky than starting a business... read more
Answered by John Pratt
When you’re assessing a new franchise opportunity, it’s important to understand how the franchisor supplies products... read more
Answered by Shelley Nadler
What is the British Franchise Association? The British Franchise Association (BFA) is the UK’s voluntary self-regulatory body... read more
Answered by Louise Harris
Renewing a franchise agreement can be a complex process, with costs, conditions and potential changes to... read more
Exciting Franchise Opportunities
Start your own Kaspa’s Desserts franchise
Yes
N/A
Request Free Information
Send a free enquiry to Kaspa’s Desserts for further information!
Start your own What’s On In Franchise franchise
Yes
N/A
Request Free Information
Send a free enquiry to What’s On In Franchise for further information!
Start your own Fat Phill’s franchise
Yes
N/A
Request Free Information
Send a free enquiry to Fat Phill’s for further information!
Start your own URBAN Fresh Burgers & Fries franchise
Yes
N/A
Request Free Information
Send a free enquiry to URBAN Fresh Burgers & Fries for further information!
Start your own Walfinch franchise
Yes
£585,077
Request Free Information
Send a free enquiry to Walfinch for further information!
Companies to Consider
Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
-
50 franchise brands with training programmes in 2025
Added 11 months ago | 2 min read
-
Johnny Pearce: “Sustainability isn’t just a trend – it’s a growth strategy”
Added 6 months ago | 2 min read
-
Franchise funding: How to beat the banks
Added about 7 months ago | 2 min read
Franchises by Minimum Investment
Find your next business opportunity
Search 100s of UK franchises and become your own boss today.
-
Under 10k
Starting a franchise doesn't have to be costly
Click here -
Under 20k
A mid-range investment for the more experienced
Click here -
Under 50k
If you have experience and more to invest
Click here -
Over 50k
If budget is not an issue, then don't miss these
Click here -
Local Franchises
Find the perfect franchise in a location to suit you
Click here
What Franchise Newsletter
Keep up to date with all the industry news