Friday, June 12, 2009

Franchise Business For Sale

When considering the purchase of the franchise business, it is important to consider options abroad, as well as on the domestic market. For this reason it is very advantageous for a potential buyer of the franchise to become familiar with international franchising and licensing market.

Franchising and Licensing involves a minimum commitment of resources and effort on the part of international marketing and easy ways to enter foreign markets. According to an international license, the company in one country (the license), permits a company in another country (the license) to use their intellectual property (patents, trademarks, copyrights, technical know-how and skills).

Cash benefits for the license is a license that the rights or the costs of such a license is valid. In many countries, the government regulates the fees or loyalty. These resources do not exceed five percent of sales in many developing countries. A licensing agreement in May also be one of the against-license, which is a mutual exchange of knowledge and / or patents. In the cross-license, cash payments in May or May not be involved.

Franchising is a form of license, in which the parent company (the concession) grants another independent entity (the franchisee) the right business in the manner prescribed. May this take the form of the right to sell the franchisor's products, its name, production and marketing techniques, or business approach. One form of the franchise includes franchisee adds an important part of the finished product.

The major forms of franchising are the seller of the manufacturer-wholesaler of building systems and services provider of enterprise systems. International franchise / license agreements increased significantly. The entry strategy, franchising and licensing requires no capital investment or expertise and marketing strength in foreign markets.

Another advantage of franchising is that it can be used as a pre-pre-preventive strategy against competition from foreign markets by combing the competition is able to enter. In addition, the franchise has been used by many companies in the harvesting of expired products.

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