Last updated: 
3 July 2017

In a franchise agreement, the franchisor gives the franchisees the right to use their intellectual property such as their trade mark and business processes.

The franchisee pays royalties and fees to provide goods or services and financially contributes towards marketing costs.

The franchisor provides continuous assistance in establishing, maintaining and promoting the franchise operation.

Some examples of franchise operations include Pizza Hut, Jim’s mowing, 7-eleven and H&R Block tax agents.

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