the.com/franchising
paying someone to let you run their idea and pretend it was always yours.
means a business model where you license a company's brand, systems, and playbook to operate your own outlet, splitting the profits with royalties and fees.
from from old french franc, meaning free — medieval kings granted franchises as freedoms to trade or hold markets; singer sewing machines used it commercially in the 1850s, but ray kroc turned it into a religion.
mcdonald's modelkroc made more money on real estate than burgers.
failure ratefranchises fail less often than independent startups, still costs plenty.
global scalesubway once had more locations than mcdonald's worldwide.
royalty cutfranchisees typically pay 4-8 percent of gross revenue forever.
for instance
mcdonald's — 38,000+ locations, most run by independent owner-operators, not corporate.
anytime fitness — grew to 5,000 gyms across 50 countries since 2002.
dunkin — nearly 100 percent franchised, corporate owns almost none directly.