The Franchise Magazine:

For franchisees the benefits of franchising are obvious – an established brand and concept, ongoing support, etc. But what does the franchisor get out of it?

1. Rapid National Growth
For businesses that experience finance, human resource and property restraints to achieving expansion, franchising can offer a solution by allowing franchisees to fund the expansion of premises, vehicles or whatever is necessary to grow the business. In return the franchisee is granted the privilege to use the intellectual property rights, knowledge and experience of the franchisor in a truly win-win philosophy.

The expansion and development of a managed business seldom exceeds the rapid growth of a successful franchised business simply because the franchisees provide access to more finance and capital investment to grow the business and remove the requirement to find a salaried manager for operation.

2. Increased National Market Share… continue reading.