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
What legal forms can a franchise take?
Running a franchise as a sole trader is the simplest method. The benefits of being a sole trader are that registration requirements are minimised: you don’t need to register with Companies House and you don’t have any reporting obligations, other than making an annual tax return to HMRC. However, you will be personally liable to the franchisor to fulfil the franchisee’s obligations under the franchise agreement, and your own assets are at risk if you fail to pay any of the fees due or creditors of the franchise business. Alternatively, you may decide to set up a limited liability company so that the finances of the franchise are kept separate from your own. You will need to incorporate the company at Companies House. If you operate as a corporate franchisee, the franchisor will probably require a personal guarantee from one or more of the directors and shareholders of the company. If you choose to operate the franchise as a partnership, all partners will need to be parties to the franchise agreement. Each partner will be individually and jointly liable for the franchisee’s obligations under the agreement and to any creditors. Another option is to set up a limited liability partnership. An LLP is very similar to a limited company as each member shares in the risks, costs, responsibilities and profits of the business. Partners’ liability is limited to the amount of money they have invested in the business and to any personal guarantees given in order to raise finance. LLPs must be registered at Companies House and have similar filing requirements to limited companies.
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

Start your own Pinnacle Chauffeurs - We Drive You franchise
Yes
Find Out More£50,000

Request Free Information
Send a free enquiry to Pinnacle Chauffeurs - We Drive You for further information!
Start your own Platinum Property Partners franchise
Yes
Find Out More£50,000 to £150,000
Request Free Information
Send a free enquiry to Platinum Property Partners for further information!

Start your own Amorino franchise
Yes
Find Out More£10,000+ VAT turnover per week on...

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

Start your own Chemex International franchise
Yes
Find Out More£153, 564

Request Free Information
Send a free enquiry to Chemex International for further information!
__75_75_s.jpg)
Start your own Just Clear franchise
Yes
Find Out MoreN/A
__75_75.jpg)
Request Free Information
Send a free enquiry to Just Clear 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 4 years ago | 2 min read
-
Five reasons why robust training is critical for franchise brands
Added 3 months ago | 2 min read
-
How prospects can get the most out of a franchise show
Added 3 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 -
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