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What is needed to open a franchise: from the idea to the investment

Posted on April 3, 2023April 6, 2023 by Inkar Gazizoff

The guide we present to you is dedicated to all those who want to open their own business through a formula of collaboration between entrepreneurs called commercial affiliation, but better known as franchising .

As reported by numerous blogs, making use of this tool means investing in and taking advantage of an already established brand on the market and starting a new business aimed at selling products or services with an already tested format resturant franchise.

Opening a franchise in Italy, therefore, can represent an excellent basic opportunity to start a commercial activity in any field: from restaurants to clothing stores, food outlets, travel agencies and telephone stores.

Navigating the world of franchising isn’t difficult. From a regulatory point of view, reference should be made to law number 129 of 2004 , which regulates the franchise agreement by defining its content and minimum duration, the obligations of the parties and the penalties in case of false information provided by the parties during the negotiation phase .

Things to consider to succeed in your restaurant franchise business

We are therefore talking about a real affiliation contract between a franchising company – called a franchisor – with a specific consolidated trade formula, and a company or an individual affiliated entrepreneur – called a franchisee – who decides to adhere to this formula by marketing its products .

The collaboration agreement provides that the company allows the franchisee to sell its products or services using the franchisor’s brand and sign and also benefiting from training, assistance and technical advice on working methods.

On the other hand, the franchisee, who is usually an independent retailer, undertakes to comply with the rules and management and production standards established by the franchisor by earning a percentage of the turnover (royalties) and thus having an excellent opportunity to start managing a store independently but with the support of the parent company in partnership.

As with all businesses and entrepreneurial activities, even in the case of franchising you will not have a certain and secure guarantee of income, but the chances of success are certainly greater thanks to the presence of an already consolidated and well-known brand. The rest will depend on you, but not only.

In fact, there are a number of variables to take into consideration before jumping into this commercial adventure.

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