What is a Master Franchisee?

Imagine there is a popular brand in some Indian city. Spreading the business through franchise business within the city won’t be a tedious task.

Now if we increase the boundaries and include the entire state, the task will get difficult. And the area keeps increasing; the job will get tougher and tougher with states and later countries.

To simplify things for both the franchisors and the franchisees, there exists something called as a Master Franchisee.

Master franchisee buys the territorial rights of the brand for a specific or multiple states. After that, it can allow a lot more franchisees to work in the area. It works as an intermediary between the Franchisor and the Franchisees.

With Master Franchisees, expansion becomes easier. It is impossible for a Franchisor to understand the laws, the functionalities, the geography, the demography and other differences between the various parts of the country. Hence, when they allow a master franchisee, they give away such tasks and focus on other key aspects of the business.

Even for Franchisees, it is easier to contact the Master Franchisee as they are the face of the brand for them. With a limited number of franchisees, master franchisee is in a better place to conduct business and focus on each one of them.

There are multiple benefits of buying a master franchisee.

1.) The master franchisee enjoys royalty fees from all the franchisees that work under it.

2.) Master franchisee has direct control over all the franchisees that work under it.

3.) Master franchisee is in better connection with the Franchisor and in a place to give valuable feedback.

4.) Since the number of franchisees is high, the risk of facing losses gets minimized.

If you are allured to buy franchisees or master franchisees, feel free to contact Franchisezing. You can call us at 97178-99655 or email us at info@franchisezing.com




Leave a Reply

Your email address will not be published. Required fields are marked *