The Ultimate Franchise Investment
Within the world of franchising, there exists a little-known opportunity that has the potential to turn into the most profitable franchise investment you can make and has the capability of providing a substantial long-term income for you and your heirs. It is known as a Master Franchise or Area Representative Franchise.
It is simply the owning of the rights to develop a franchise system within a territory. This territory can be a metropolitan area, an entire state, several states, or even a country.
The Master Franchisee assists the franchise company in developing the territory in exchange for a share in the royalty revenues and franchise fees that are generated from operations within that territory.
The Master Franchisee pays the franchisor a fee for these rights and must provide certain services to existing franchisees within the defined territory.
In building that territory, the Master Franchisee usually does not enter into agreements with the franchisees but rather facilitates the coming together of the franchisor and the franchisee.
Once the franchisee has entered into the franchise agreement, the Master Franchisee may aid in sales, site selection, build-out, equipment acquisition, training coordination and in opening, operating and insuring quality control. Depending on the franchisor, requirements could be minimal or some or all of the above.
For this ongoing service the franchisor pays the Master Franchisee a split in the royalties and franchise fees earned within the territory. This can represent up to one-half or more of the revenue stream earned by the franchisor within the territory.
With owning a Master Franchise you enjoy all the benefits of being a franchisor without the burden of having to develop a concept from scratch.
The franchisor has a proven track record, brand name, and a successful operating system. You basically become their partner in a territory. The franchisor provides you with valuable support, latest innovations and business experience.