Business Setup

Franchise Agreement

Why Choose Our Franchise Agreement Services?

A well-drafted Franchise Agreement helps establish a clear business relationship between a franchisor and franchisee. It defines the rights to use a brand, business model, trademarks, operational systems and other intellectual property while setting out the commercial responsibilities of both parties. Our services assist in preparing customised franchise agreements covering franchise fees, royalty payments, territory rights, operational standards, training, marketing obligations, confidentiality and termination conditions. We help businesses document their franchise arrangements and establish a structured contractual framework for expansion and long-term business relationships.

Customised Franchise Agreements

We prepare franchise agreements according to the business model, industry, commercial arrangement and specific requirements of franchisors and franchisees.

Clear Commercial & Royalty Terms

We help document franchise fees, royalty payments, revenue sharing, marketing contributions, payment schedules and other financial responsibilities.

Brand & Intellectual Property Protection

We assist in defining permitted use of trademarks, logos, business processes, confidential information and other intellectual property belonging to the franchisor.

Structured Business Relationship

We help establish clear responsibilities relating to operations, training, quality standards, territory rights, compliance, renewal and termination.

Our Franchise Agreement Services

Franchise Agreement Drafting

Preparation of customised franchise agreements defining the business arrangement, rights, obligations, commercial terms and responsibilities of the franchisor and franchisee.

Franchise Fee & Royalty Documentation

Drafting of initial franchise fees, recurring royalties, revenue sharing, marketing contributions, payment schedules and other financial provisions.

Trademark & Brand Licensing Terms

Documentation of permitted brand usage, trademark licensing rights, logos, trade names, business materials and intellectual property restrictions.

Territory & Exclusivity Clauses

Drafting of geographical territory rights, exclusive or non-exclusive arrangements, outlet locations, expansion permissions and applicable restrictions.

Operational Standards & Support Terms

Documentation of business operating procedures, training, quality standards, supply arrangements, marketing support, inspections and reporting requirements.

Agreement Review & Amendment

Review and revision of existing franchise agreements covering commercial changes, intellectual property rights, obligations, renewal, termination and dispute resolution.

What You Will Receive

Customised Franchise Agreement

A professionally prepared franchise agreement tailored to the business model, commercial structure and requirements of the parties.

Commercial & Payment Terms

Documented franchise fees, royalty arrangements, payment schedules, marketing contributions and other financial obligations.

Brand Usage & Operational Clauses

Relevant provisions covering intellectual property licensing, brand standards, operational procedures, training and business support responsibilities.

Finalised Agreement Documentation

A reviewed and finalised agreement draft containing territory rights, confidentiality, renewal, termination and dispute resolution provisions.

Our Franchise Agreement Process

1

Initial Consultation

Step 1

We understand the franchise business model, proposed arrangement, industry, expansion objectives and expectations of the franchisor and franchisee.

2

Business & Party Details Collection

Step 2

We collect the legal details of both parties, business information, brand ownership details, proposed franchise location and relevant supporting documents.

3

Commercial Terms Assessment

Step 3

We identify franchise fees, royalty structure, territory rights, payment conditions, operational responsibilities, training and support arrangements.

4

Agreement Drafting

Step 4

We prepare the franchise agreement covering brand licensing, commercial obligations, operational standards, confidentiality, intellectual property and other relevant contractual provisions.

5

Review & Finalisation

Step 5

We review the draft, incorporate mutually agreed changes and check applicable contractual, intellectual property, competition, stamping and execution requirements.

6

Execution & Document Handover

Step 6

We provide the finalised agreement for execution and assist with applicable signing, stamping, supporting documentation and related formalities.

Who Needs Franchise Agreement Services?

Franchisors & Brand Owners

Businesses and brand owners planning to expand their operations by authorising third parties to operate under their established brand and business model.

Franchisees & Business Investors

Individuals, entrepreneurs and organisations interested in acquiring rights to operate a business using an established brand, system or commercial model.

Startups & Growing Businesses

Businesses looking to establish a franchise network, expand into new markets or structure their brand licensing and operational arrangements.

Master Franchise & Area Developers

Businesses and investors entering master franchise, regional development or multi-unit franchise arrangements involving defined territory and expansion rights.

India does not have a single comprehensive central franchise statute governing all franchise arrangements. Franchise agreements are generally structured under the Indian Contract Act, 1872, along with applicable intellectual property laws, including the Trade Marks Act, 1999 and Copyright Act, 1957. The Competition Act, 2002 may also apply to certain exclusivity, supply, pricing or territorial restrictions. International franchise arrangements may additionally involve FEMA and applicable foreign investment and tax requirements. The agreement should be reviewed according to the business model, industry and specific commercial terms.

Documents Required for Franchise Agreement

Please arrange the following information and documents, wherever applicable, to help us prepare a franchise agreement according to the business model, brand ownership and proposed commercial arrangement.

Franchisor Identity & Business Details

PAN card, address proof, business registration details, contact information and legal identity of the franchisor or brand-owning entity.

Franchisee Identity & Address Proof

PAN card, applicable identity proof, residential or registered office address and contact details of the proposed franchisee.

Company & Entity Registration Documents

Certificate of Incorporation, LLP agreement, partnership deed, GST registration or other relevant entity registration documents, wherever applicable.

Authorisation & Signatory Details

Board resolution, power of attorney, authorisation letter or other supporting documents identifying individuals authorised to execute the agreement.

Trademark & Brand Ownership Details

Trademark registration certificates, application details, brand name, logo and supporting documents establishing ownership or authority to license the brand.

Business Model & Operations Information

Details of the franchise concept, business activities, products or services, operating model, business processes and proposed franchise structure.

Franchise Location & Territory Details

Proposed outlet address, geographical territory, location permissions, exclusivity arrangement and expansion plans, wherever applicable.

Operational Manuals & Brand Guidelines

Available operating procedures, training materials, brand guidelines, quality standards, marketing policies and other relevant business documentation.

Franchise Fee & Royalty Structure

Initial franchise fee, recurring royalty, revenue sharing, renewal fee, marketing contribution and other agreed commercial charges.

Payment & Financial Arrangements

Payment schedule, bank details, invoicing arrangements, applicable taxes, reporting requirements and financial settlement conditions.

Training & Business Support Terms

Details of initial training, ongoing assistance, marketing support, supply arrangements, operational guidance and quality monitoring.

Duration & Termination Conditions

Agreement duration, renewal conditions, notice period, termination events, post-termination brand restrictions and settlement arrangements.

Frequently Asked Questions

A Franchise Agreement is a legal contract between a franchisor and a franchisee under which the franchisee receives permission to operate a business using the franchisor's brand, trademarks, business model, systems or other authorised resources in exchange for agreed fees or royalties and subject to specified conditions.

India does not currently have a single comprehensive central law specifically governing all franchise arrangements. Franchise relationships are generally governed by the Indian Contract Act, 1872 and other applicable laws, including trademark, competition, intellectual property, tax and foreign exchange legislation, depending on the arrangement.

The two primary parties are the franchisor, who grants the agreed franchise rights, and the franchisee, who receives permission to operate the business under the agreed terms. Depending on the arrangement, a master franchisee, area developer or authorised entity may also be involved.

A Franchise Agreement should generally cover the rights of the parties, brand licensing, franchise fees, royalty payments, territory, duration, operational standards, training, marketing support, confidentiality, intellectual property, renewal, termination and dispute resolution.

A franchisor owns or controls the brand and grants specified business rights to another party. A franchisee receives those rights and operates the business according to the agreed contractual terms, including payment obligations and operational requirements.

A franchise fee is generally an initial amount paid for acquiring specified franchise rights. Royalty payments are recurring payments that may be calculated as a percentage of revenue, a fixed amount or another agreed method. The agreement should clearly define the amount, calculation method, payment frequency and applicable conditions.

Yes. The franchisor may grant exclusive or non-exclusive territory rights depending on the commercial arrangement. The agreement should clearly define geographical boundaries, permitted outlets, online sales, reserved rights and applicable restrictions. Any exclusivity provisions should also be assessed under applicable competition law.

Generally, the franchisor or the relevant intellectual property owner retains ownership of the trademark and brand name, while the franchisee receives limited permission to use them under the agreement. The licence should specify the permitted usage, quality standards, restrictions, duration and consequences of termination.

Early termination may be possible under the conditions specified in the agreement or applicable law. Common provisions include material breach, non-payment, insolvency, misuse of intellectual property, failure to meet operational standards and other agreed termination events. The agreement should also specify notice, cure periods and post-termination obligations.

Yes. A Franchise Agreement can generally be amended or renewed through mutual agreement, subject to its existing provisions and applicable law. Changes relating to franchise fees, royalties, territory, duration, brand usage or operational responsibilities should be properly documented in a written amendment or renewal agreement.

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