
Role of Franchisee and Franchisor
The franchisor is the company that owns a brand and its business model, allowing others to use its name and process for a fee. The franchisee is the individual or business that purchases the right to operate under the franchisor’s brand, following its established guidelines. In this relationship, the franchisor provides support, training, and marketing, while the franchisee manages day-to-day operations and customer service. Essentially, the franchisor expands its business through franchisees, and franchisees benefit from the franchisor’s established reputation and resources.