The franchise contract is based on three ingredients:
1st ingredient: the provision of a brand
as a trade name
2nd ingredient: a tested know-how
The franchisor must have “pilot” points of sale
The know-how is formalized in “operating manuals”
This know-how is made available to franchisees through training courses
and ongoing assistance
3rd ingredient: a range of products and/or services
sold directly by the franchisor to franchisees, or indirectly through referenced suppliers or service providers