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Master Franchise Agreement
"I need a Master Franchise Agreement for my Australian coffee shop chain expanding into New Zealand, with rights to appoint sub-franchisees and requirements for establishing a local training center by March 2025."
1. Parties: Identification of the franchisor and master franchisee, including full legal entities and ABNs
2. Background: Context of the agreement, brief description of the business system, and intention to grant master franchise rights
3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules for interpretation
4. Grant of Master Franchise Rights: Scope of territorial rights and exclusivity granted to the master franchisee
5. Term and Renewal: Initial term of the agreement and conditions for renewal
6. Fees and Payments: Initial fees, ongoing royalties, and payment terms for both master franchise and sub-franchise arrangements
7. Obligations of the Franchisor: Support, training, and assistance to be provided by the franchisor
8. Obligations of the Master Franchisee: Operational requirements, development schedule, and sub-franchising obligations
9. Sub-Franchising Rights and Obligations: Terms and conditions for granting sub-franchises, including approval processes
10. Intellectual Property: Usage rights and restrictions for trademarks, copyright, and other IP
11. Quality Control and Standards: Maintenance of system standards and quality control requirements
12. Marketing and Advertising: Marketing obligations, fund contributions, and approval processes
13. Confidentiality: Protection of confidential information and trade secrets
14. Non-Competition and Restraints: Restrictions during and after the term of the agreement
15. Default and Termination: Events of default, remedies, and termination procedures
16. Post-Termination Obligations: Obligations and procedures following termination
17. Dispute Resolution: Processes for resolving disputes as per Franchising Code requirements
18. General Provisions: Standard boilerplate clauses including notices, assignment, and governing law
1. Import/Export Requirements: Required for international master franchise arrangements involving cross-border trade
2. Local Adaptation Rights: Needed when the system requires significant modification for local market conditions
3. Multi-Currency Provisions: Required for agreements involving operations across multiple currencies
4. Development Schedule Obligations: Used when specific growth targets or development schedules are required
5. Master Franchisee's Own Operations: Required when the master franchisee will also operate their own units
6. Training Center Requirements: Needed when the master franchisee must establish local training facilities
7. Supply Chain Provisions: Required when the master franchisee will manage local supply chains
8. Translation Rights and Obligations: Needed for markets where materials require translation
1. Territory Definition: Detailed description and/or maps of the granted territory
2. Initial Fee and Ongoing Payments: Comprehensive fee structure including all payment obligations
3. Approved Suppliers and Products: List of approved suppliers and products for the system
4. Brand Standards Manual: Details of required operational standards and procedures
5. Intellectual Property Register: List of all registered and unregistered IP rights included in the grant
6. Training Requirements: Details of initial and ongoing training programs
7. Development Schedule: Timeline and targets for sub-franchise development
8. Form of Sub-Franchise Agreement: Approved template for sub-franchise agreements
9. Marketing Guidelines: Specifications for local marketing and advertising
10. Reporting Requirements: Forms and schedules for required operational reporting
11. Insurance Requirements: Details of required insurance coverage and limits
12. Initial Setup Requirements: Specifications for establishment of master franchise operations
Authors
Retail
Food and Beverage
Hospitality
Education and Training
Professional Services
Health and Fitness
Automotive
Real Estate
Home Services
Technology and Software
Personal Care and Beauty
Child Care and Education
Business Services
Manufacturing and Distribution
Legal
Operations
Finance
Compliance
Business Development
Franchise Development
Commercial
Senior Management
Risk Management
Training and Development
Chief Executive Officer
Managing Director
Franchise Development Manager
Legal Counsel
Chief Financial Officer
Operations Director
Territory Development Manager
Compliance Officer
Business Development Manager
Commercial Director
Head of Franchising
Regional Manager
General Counsel
Chief Operating Officer
Franchise Support Manager
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