Franchises

A franchise is not strictly a form of legal structure for a business but it is a legal contract between two firms . This contract allows one of them , the franchisee , to use the name , logo and marketing methods of the other , the franchiser . The franchisee can , separately , then decide which form of legal structure to adopt . Franchises are a rapidly expanding form of business operation . They have allowed certain multi – national businesses , which are now household names , to expand much more rapidly than they could otherwise have done – McDonald’s and Body Shop are the examples .