3. Franchise Ownership

Franchise ownership is a business model where an individual (the franchisee) purchases the rights to operate a business using the brand and system of an established company (the franchisor). The franchisee benefits from the franchisor's proven business model, marketing support, and recognized brand. In return, the franchisee typically pays an initial fee and ongoing royalties. This arrangement allows individuals to start a business with lower risks than traditional startups, as they leverage the franchisor's experience and resources. Popular examples include fast-food restaurants and retail chains.