Considerations and Requirements for Franchising Agreements:
The franchisee is licensed to use both the trademark and the operating system according to the terms and conditions mentioned in the franchise agreement. Both the franchisor and franchisee must fulfill their obligations under the contract. Before granting franchisee the right to use the name,logo and run the business, franchisee and also the franchisor must reach some requirements. It is same for Aarong. Aarong also has to consider the fact seriously. Before it starts signing agreements, it has to be confirmed both parties are meeting minimum requirements for the deal. Areas of requirements are mentioned bellow that can be used by Aarong to grant international franchise agreement.
Information: We can also refer to term “knowledge about franchisor”. Franchisees must have researched on the background, mission, vision, goal and values of the parent organization. Franchisees are required to have primary understanding about business activity and operation procedure of the franchisor. Aarong is a brand with wide vision and clearer mission. Information about Aarong is available on internet. Any willing franchisor must agree with business philosophy and trade activities of Aarong. Also Aarong must have adequate knowledge about franchisees, target countries, locations, business profile of the would-be franchisee..
Legal Requirements: For example, in the United States of America, Standard Discloser document has to be issued by Aarong. UFOC or Uniform Franchise Offering Circular is the other name for the discloser. There are number of other documents and legal requirements that will have to be met in order to set up retail franchised stores of Aarong. Registration requirements to offer franchises in different countries are different. Lawyer or attorneys with experience in franchise law will have to be hired to fulfill