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 an area development franchise?
As with many terms in franchising, the term ‘area development agreement’ does not have a precise legal meaning and is used to describe a number of relationships. Broadly, these relationships fall into two categories.The first is where a franchisor wants to expand, usually into a new country, but does not want to appoint a master franchisee who would effectively be the franchisor in that country. Instead the franchisor wants to make use of existing contacts to assist in recruiting and quite possibly ‘looking after’ franchisees. This type of relationship is called an area development agreement.The second approach describes the relationship between a franchisee who is granted a franchise but, in addition, is given an option to open additional franchise outlets. These types of arrangement are quite common in the UK and envisage that a prospective franchisee will not be satisfied with simply being a single territory franchisee, but would want to operate a number of territories. The right to expand into additional territories would, of course, be subject to conditions such as satisfactory performance in relation to the first and subsequent territories opened by that franchisee.An increasing number of franchisors believe that the difficulties in recruiting franchisees are such that it makes sense to look for franchisees who have the management ability and financial wherewithal to operate more than one outlet.
You might also be interested in
Answered by Shelley Nadler
Shelley Nadler writes: Yes. It’s usual for the franchisor to demand the same qualifications and standards for... read more
Answered by Alan Wilkinson
Alan Wilkinson writes: It’s quite common for two friends to go into business together and the mechanism... read more
Answered by John Pratt
John Pratt writes: There’s a view that if a franchise works in a franchisor’s home country, it... read more
Answered by Louise Harris
Louise Harris writes: Start your research ahead of your attendance. Make the show guide your key resource... read more
Exciting Franchise Opportunities
Companies to Consider
Assists in securing third party funding
Operational breakeven in the first month of trading and return on capital investment from approx.18 months
This would be discussed at interview stage
Bark Busters Dog Training
£70,000-plus per annum
Part funding available
Not Just Travel
In house and high street banks
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 5 hours ago | 2 min read
Added 3 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