Franchising is a powerful driver of business growth and economic impact across industries. For example, U.S. franchise establishments generated an economic output of nearly $897 billion in 2024, which reveals the sheer scale and influence of this business model.
For legal professionals managing franchise transactions, having a clear franchise agreement form is a must for protecting client interests and minimizing the risk of future disputes. In this post, we’ll show you a template that provides a structured foundation for reviewing franchise agreements.
Let’s take a look!
43 questions for a comprehensive franchise agreement form template
This franchise agreement form is made as a foundational template for legal practitioners advising clients on franchise transactions. It serves as a practical starting point for drafting or reviewing agreements within a wide range of industry contexts.
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While each arrangement demands careful customization to reflect the specific business model and regulatory environment, the structure below outlines the core provisions required in a compliant agreement. Here are 40+ questions you should consider.
Introduction and identification of the parties
The first section establishes who is entering into the agreement.
1. What is the full legal name of the franchisor?
2. What is the business address of the franchisor?
3. What is the full legal name of the franchisee?
4. What is the business or residential address of the franchisee?
5. Agreement effective date
Grant of franchise
This section outlines the specific rights being granted to the franchisee, including the use of trademarks and branding.
6. What products, services, or business model is being franchised?
7. What rights are granted to the franchisee?
Options: Exclusive, Non-exclusive, Limited.
8. What trademarks, logos, or intellectual property may the franchisee use?
Term and renewal
The third set of questions defines the duration of the agreement and the conditions under which it may be renewed.
9. What is the initial term of the agreement?
Note: In years.
10. Under what conditions can the agreement be renewed?
11. How much notice is required for renewal?
12. Are there any fees or requirements for renewal?
If yes, clarify these requirements.
Payment structure
These questions specify the financial obligations of the franchisee, including any upfront fees, royalties, or ongoing contributions.
13. What is the initial franchise fee?
14. What is the ongoing royalty fee?
Options: Percentage or flat amount.
15. Are there any other recurring fees?
Note: Think of things like technology, training, etc.
Training
More often than not, the franchisor provides support to help the franchisee successfully operate the business. The following section explains those responsibilities.
16. What initial training will be provided to the franchisee?
17. When will the training take place?
Note: Feel free to provide a range.
18. Where will the training take place?
19. What ongoing support will be provided?
Note: Think of things like operations, marketing, updates, etc.
Operating requirements
To maintain brand consistency, the franchisor should set standards for daily operations. In this section, you will define those expectations.
20. Do you have documented operational guidelines that the franchisee must follow?
If yes, upload your guidelines.
21. What are the approved suppliers, vendors, or products?
22. What are your location design standards that should be met?
23. How will compliance with brand standards be monitored?
Marketing specs
Marketing plays a notable role in franchise success, so you need to outline the responsibilities for local and national advertising efforts.
24. What marketing materials will be provided by the franchisor?
25. Is there a required marketing plan for the franchisee?
26. Are there guidelines for local advertising efforts?
Intellectual property
This part confirms that the franchisor owns all intellectual property and grants limited use to the franchisee for the duration of the agreement.
27. What trademarks or copyrighted materials are covered?
28. What are the rules for displaying the brand assets?
29. What happens if the franchisee violates intellectual property terms?
Territory
If the franchisee is being granted a protected area, this section reveals the geographic limits and exclusivity terms.
30. What is the defined country/territory for this franchise?
31. Territory type
Options: Exclusive, non-exclusive, or limited.
Termination
Both parties need clarity on when and how the agreement can be terminated through acceptable grounds and procedures.
32. Under what circumstances can the franchisor terminate the agreement?
33. Under what conditions can the franchisee terminate the agreement?
34. What is the notice period required for termination?
Note: Number of days.
35. What are the post-termination obligations of the franchisee?
Confidentiality and non-compete
This ensures the franchisee does not misuse proprietary information or compete unfairly during or after the term of the agreement.
36. What information must the franchisee keep confidential?
37. How long does the confidentiality obligation last after termination?
38. What is the time and geographic scope of the non-compete clause?
Signatures
The agreement becomes effective once both parties sign. The last section includes their names, titles, and signature lines.
39. What is the name and title of the franchisor’s representative signing the agreement?
40. What is the name and title of the franchisee or authorized signatory?
41. Franchisor’s representative signature
42. Franchisee’s representative signature
43. Date
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With features like military-grade encryption, ISO 27001 certification, and automated workflows, the system helps you eliminate the bottlenecks that slow down legal onboarding. Content Snare comes with a built-in franchise agreement form template that you can fully customize or send to your clients as-is within a minute. That way, clients can upload documents securely in a user-friendly portal, cutting down on back-and-forth and reducing errors by over 50%.
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In a nutshell, Content Snare is a proven solution for managing sensitive legal documents with confidence and speed. If you're serious about streamlining franchise transactions while delivering an exceptional client experience, sign up for a free 14-day trial and let it drastically improve your client onboarding process.
FAQ
What makes this franchise agreement form different from a basic contract template?
This form is specifically structured for franchise relationships, covering not just legal formalities but also operational, marketing, and territorial terms that are unique to franchising. It includes guided questions that help ensure key compliance areas aren’t overlooked—something standard contract templates often miss.
How is Content Snare better than other document collection tools for legal professionals?
Unlike generic file request tools, Content Snare is purpose-built for professional workflows. It combines secure client portals with customizable forms, automated follow-ups, and progress tracking, which makes it perfect for high-stakes legal work like franchise agreements where accuracy and compliance matter the most.
