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.
When it comes to renewing my franchise agreement, could the terms change?
Almost certainly yes. The ability of the franchisor to change the terms of the franchise agreement on renewal will depend on the wording in your franchise agreement, but certainly what you would expect the franchise agreement to provide is that if a franchisee wants to renew then certain conditions have to be satisfied - and one of those conditions would be that the franchisee has to enter into a new franchise agreement. Usually this provision requires a franchisee to enter into ‘the franchisor’s then current franchise agreement’. This means the franchisor could very substantially change the terms of the agreement.The ability of a franchisor to change the terms of the franchise agreement does make franchisees nervous. It may be possible for franchisees to obtain ‘comfort’ from a franchisor before they enter into the franchise agreement that the financial terms will not change, but in practice very few franchisors are prepared to provide this.The real protection a franchisee has is that the franchisor can only impose, on renewal, its then current franchise terms. In other words, the franchisor can’t impose terms it is not generally offering to other franchisees at the time. The second protection for franchisees is that it would be unlikely a court would allow a franchisor to change the terms so radically that it was a different type of franchise, or that it was no longer commercially viable for a franchisee to operate the franchise successfully.
You might also be interested in
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
Answered by Shelley Nadler
Shelley Nadler writes: The answer to this will really depend on the reason your franchise is not... read more
Exciting Franchise Opportunities
Companies to Consider
Mail Boxes Etc.
I Am Döner
£10,000+VAT turnover per week, 20% EBITDA profit
Fixed sites can earn up to £16,000 per month with profit margins of 65%
BforB - UK
Circa £200,000 AFTER fees
Third party support
£500,000-£1m, bottom line 20%+
Black Rooster Peri Peri
ROI within 18 months with an average net profit of 25%
The Design Print Distribution...
Turnover circa £120,000. 30% profit level
£12,000 weekly revenue, 25% net profit
Potential ROI within 12 months, with average profits of 34% in the first year
Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
Added 3 years ago | 2 min read
Added about 15 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