Licensing and franchising

You can license the right to produce and sell your product, service or intellectual property (IP) to a third party. They will usually pay a licence fee upfront and royalties on each sale.

Franchising involves licensing a well-developed business model to a third party. Fees are paid for the right to:

  • use a brand name
  • sell a product or service
  • use business systems and processes
  • get training and equipment

Be selective when choosing a license or franchise partner. You’ll want to be confident that your product, service or IP will be used in the way you intended and that your standards will be maintained.

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