Franchising is a successful business model indigenous to the U.S. that has grown worldwide over the past 70 years. It provides customers with uniform quality of goods and services identified by a common brand. It provides franchisees with an opportunity to be in business “for yourself, but not by yourself”, since the franchisor provides training, support, a trademark, manuals, and a system of quality control.
Franchising has come under increasing attack in the past several years from a number of fronts. These challenges include state governments trying to increase tax revenue; unions struggling to organize franchised small businesses; and litigants with their own agendas.
This blog will chronicle these attacks, and give specific recommendations for franchisors and franchisees to preserve their business model.