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 often can a franchise agreement be renewed?
It depends on what the franchise agreement says. Most agreements in the UK are granted for five years. You would expect these agreements to be renewable at least twice, so that a franchisee is ‘guaranteed’ a 15-year term.Of course, there are conditions attached to any such renewal. Usually these conditions are that the franchisee must have performed to the satisfaction of the franchisor, not be in breach of the franchise agreement at the time of renewal and not have committed such a serious breach of the franchise agreement that the franchisor would have terminated. In addition, the renewing franchisee would have to enter into the franchisor’s then current franchise agreement, which could be very different to the agreement the franchisee wants to renew.The British Franchise Association likes to see at least two guaranteed renewals and also likes to see that on a transfer the incoming purchaser of the franchise business can also renew on two occasions.With a 10-year franchise term, you would expect one renewal in favour of the franchisee. For longer terms, such as the lengthy terms granted in relation to some fast food franchises, which require substantial upfront shop fitting expenditure, franchisees would not generally have a right to renew.Having said all of the above, if a franchisee is performing well franchisors are likely to renew even when under no obligation to do so.
You might also be interested in

Answered by Shelley Nadler
Shelley Nadler writes: There are two main types of franchise fee paid to the franchisor in a... read more

Answered by Alan Wilkinson
Alan Wilkinson writes: The short answer is no. The interesting bit is why a franchisee should actually... read more

Answered by Louise Harris
Louise Harris writes: This question is one that many have explored and much has been written on... read more

Answered by John Pratt
John Pratt writes: Virtually all franchise agreements are granted for a specific term and either contain an... read more
Exciting Franchise Opportunities

Start your own Expense Reduction Analysts (ERA) franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Expense Reduction Analysts (ERA) for further information!

Start your own Studio Pilates franchise
Yes
Find Out More£75,000 to £100,000

Request Free Information
Send a free enquiry to Studio Pilates for further information!

Start your own Street Greek franchise
Yes
Find Out More£22,000 - £25,000 per week

Request Free Information
Send a free enquiry to Street Greek for further information!

Start your own Dr Noodles franchise
Yes
Find Out More£233,000

Request Free Information
Send a free enquiry to Dr Noodles for further information!

Start your own Dyno-Rod franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Dyno-Rod 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
-
Brexit property investment myths BUSTED!
Added 3 years ago | 2 min read
-
Putting people first: Care and elderly-focused franchises guide
Added 10 hours ago | 2 min read
-
Seeking a high-performance work culture?
Added one day 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 -
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