Define a franchise and explain the benefits to becoming a franchisee.

A franchise is an existing business that grants permission to another individual to sell the products and operate under the name of the existing business. Possible benefits to becoming a franchisee could be:

• Already working under an established name.
• The franchisor would provide help and support for the business.
• It is often easier to obtain loans and grants from banks etc. The question says explain, therefore the points above would need an extra sentence of explanation in order to get full marks. For example, as a franchisee you are already working under an established name, meaning you are more likely to have an established customer base, and therefore more sales in the short term.