Franchising

Thinking of franchising your business?

Franchising is an established and popular form of business. It can be successful for both the franchisor and the franchisee, but it also comes with disadvantages. Franchises can enable an established business to expand relatively quickly and efficiently....

A quick guide to franchising

Franchising is the practice of a successful business expanding by allowing others to use its business model and brand, in return for the payment of a fee.  For the franchisor, it permits a quicker means of growth than organic growth, which requires...

Should I take on a franchise?

There are many potential benefits of buying a franchise, such as having access to well-established business and accounting systems, centralised marketing and a proven business model. Being part of a well-known national brand also has an appeal for many...

Pilot franchises steer course for success

When planning to franchise a business your business plan should include pilot franchises.  Any would-be franchisor might assume that their own successful operation of their business is enough to entice potential franchisees to participate and to ensure...

When the going gets tough, the tough get restructuring

Tougher economic environments often see a greater amount of restructuring within businesses, including a demerger. There are a number of reasons why a company may want to demerge: - to unlock shareholder value (sometimes enabling an exit by one party); - to...

Your business property. It does not have to cost the earth

David Rayner, partner from Birkett Long’s Commercial Property Team discusses the “big themes” that are likely to affect commercial premises during 2012. From the perspective of both landlords/investors on the one hand and tenants/occupiers...

Do your non-compete clauses protect your franchise?

In the recent case of Francotyp-Postalia v Whitehead and others the High Court considered whether to sever a non-compete clause from a franchise agreement. Non-compete clauses (which are also referred to as restrictive covenants) help protect a franchisor...

Watch out there's a Vertical Agreement about!

New EU regulation on distribution, franchising and other vertical agreements prohibits anti-competitive practices relating to internet selling. New regulations were adopted by the EU on 20 April 2010 dealing with competition issues in connection with...

Calling all significant electricity users - Carbon Reduction Commitment Energy Efficiency Scheme: Are You Prepared?

Introduction On 1 April 2010, the new UK-wide compulsory Carbon Reduction Commitment Energy Efficiency Scheme (‘the Scheme’) came into force under powers contained in the Climate Change Act 2008. The Scheme is administered by the Environment...

Restrictive covenants enforceable even in the absence of a new franchisee or franchise activity

Author: Tracey Dickens The enforceability of a Franchisor’s post-termination clauses to prevent competition has been bolstered by a Court of Appeal decision in Chipsaway International Ltd v Errol Kerr 2009. This and other recent cases have shown...

The Code of Ethical Conduct in Franchising

Author: Tracey Dickens By subscribing to the European Franchise Federation (“EFF”) the British Franchise Association (“BFA”), accepted the European Code of Ethics and undertook not to amend or delete it in any way. However, the...