Franchising

Franchising is a business arrangement where a company (the franchisor) licenses its business model, brand name, and operating methods to another business (the franchisee), who pays fees in exchange for the right to sell the franchisor's products and services. This matters because it allows businesses to expand rapidly by having independent operators run locations under their brand, while franchisees can start a business using an already-proven model and established brand name.

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