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.
What’s a master franchise?
A master franchise is usually given for a larger area, whole region or country. A master franchisee will have the right to open its own outlets and sub-franchise to individual franchisees.
The emphasis will be on sub-franchising and the master franchisee will be expected to establish its own outlets to pilot test in the target territory, so as to have examples to demonstrate successful operations to prospective sub-franchisees. The master franchisee, in essence, stands in the shoes of the franchisor in the territory and is, to all intents and purposes, the franchisor of the system in the territory.
The master franchisee will be responsible for the selection and training of sub-franchisees, site selection and all the other services a franchisor normally provided to franchisees.
They will be required to provide the financial resources to establish and exploit the system in the target country or region. The sub-franchisees will provide the financial resources for the outlets they operate.
The master franchisee will charge franchise fees to sub-franchisees. The fee income generated by sub-franchisees is divided between franchisor and master franchisee. From these fees, the master franchisee will not only have to finance their own operations, but to make a payment to the franchisor as well.
Shelley Nadler is a legal director in Bird & Bird’s international franchising team and has many years’ experience of advising on all aspects of franchising.
You might also be interested in
Answered by Louise Harris
Louise Harris writes: Franchisors will usually have an outline avatar that may include age, skill set, past... read more
Does a franchisor sell its products exclusively through its franchisee network or is it able to make them available elsewhere?
Answered by John Pratt
John Pratt writes: There’s no standard answer to this question because, for instance, a number of well... read more
Answered by Alan Wilkinson
Alan Wilkinson writes: We first need to look at what we refer to as five-star franchising. Is your... read more
Will a franchisor ensure I operate my business within the required health and safety guidelines of the sector I operate in?
Answered by Shelley Nadler
Shelley Nadler writes: The franchisor should provide health and safety guidelines appropriate to the sector the franchise... read more
Exciting Franchise Opportunities
Companies to Consider
Turnover of £250,000 with gross profit of £95,000
60% bank funding, subject to status
Fresh Car Valeting
Your Mortgage Plus
Mr Simms Olde Sweet Shoppe
This would be discussed at interview stage
The Eaton Practice
Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
Added 2 years ago | 2 min read
Added 11 hours ago | 2 min read
Added 2 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