Multiplying success in business is possible and has a positive impact on the one who is sharing the success recipe, on those who apply it accordingly and also on the end user. Multiplying business` success is done inside a franchise network: the business idea that already shows a competitive advantage is licensed to other merchants to operate it identically. The direct and constant help the franchisor is offering to those using his time-improved business model, eliminates the risks of failure for the franchisee. The loyal customers of the franchisor`s brand have an easier access to the product or the service offered through the network, and the franchisees will make a community – together with the franchisor – working for the best business offer.
Knowing the functional rules applicable to the franchise is essential for any businessman who wants to develop the enterprise building a franchise network. Only an accountable attitude of the franchisor – the experimented specialist – will lead to the desired results.
Per a contrario, the risk of failure is caused by a poor knowledge of the franchise mechanisms followed by the deficient fulfillment of the rules and regulations guiding the activity of the franchise network.
Romanian entrepreneurs, searching permanently new information, prove curiosity and responsibility. With accessible instruments at hand – e.g. the practical guide ”Franchise, Franchising” – they understand and therefore they apply accordingly the franchise mechanism.
The Franchise Agreement is a binding contract, with a particular content and having specific clauses that should comply with the competition law and with the general interests of the parties in the same time. Knowing well the applicable law and the jurisprudence of the franchise domain is essential when the agreement is outlined as far as it is a long term agreement.