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Non Exclusive Franchise Agreement
"I need a Non-Exclusive Franchise Agreement for my retail clothing business expanding into Western Australia, with provisions for multiple franchisees in each major city and a requirement for all franchisees to participate in our national e-commerce platform starting March 2025."
1. Parties: Identification of the franchisor and franchisee with full legal details
2. Background: Context of the agreement, description of the franchise system, and business concept
3. Definitions: Detailed definitions of terms used throughout the agreement
4. Grant of Franchise: Terms of the non-exclusive franchise rights, territory definition, and reserved rights
5. Term and Renewal: Initial term of the agreement and conditions for renewal
6. Fees and Payments: Initial franchise fee, ongoing royalties, marketing contributions, and payment terms
7. Franchisor Obligations: Support, training, and services provided by the franchisor
8. Franchisee Obligations: Operating standards, compliance requirements, and performance obligations
9. Operations Manual: Reference to and compliance with the operations manual
10. Intellectual Property: Use of trademarks, copyright, and other IP rights
11. Marketing and Advertising: Marketing requirements, contributions, and approval processes
12. Reports and Audits: Financial reporting requirements and audit rights
13. Insurance: Required insurance coverage and minimum limits
14. Transfer and Assignment: Conditions for transferring the franchise rights
15. Termination: Grounds for termination and processes
16. Post-Termination Obligations: Duties and restrictions after agreement ends
17. Dispute Resolution: Process for resolving disputes as per Franchising Code requirements
18. Confidentiality: Protection of confidential information and trade secrets
19. Governing Law: Applicable law and jurisdiction
1. Multi-Unit Development: Include when franchisee has rights to develop multiple units
2. Equipment and Fit-out: Include for retail or hospitality franchises requiring specific equipment or premises setup
3. Supply Arrangements: Include when specific supplier relationships or arrangements are required
4. Online Operations: Include for franchises with e-commerce components
5. Training Requirements: Include when specific ongoing training programs are mandatory
6. Territory Development: Include when minimum performance targets for territory development apply
7. Sub-Franchising Rights: Include if sub-franchising is permitted
8. Personal Guarantees: Include when personal guarantees from franchisee directors are required
1. Schedule 1 - Territory Description: Detailed description and/or maps of the franchise territory
2. Schedule 2 - Initial Fee and Ongoing Payments: Detailed breakdown of all fees, royalties, and payment structures
3. Schedule 3 - Initial Training Program: Details of required initial training and support
4. Schedule 4 - Approved Products and Services: List of authorized products/services and specifications
5. Schedule 5 - Intellectual Property: Details of licensed trademarks, copyrights, and other IP
6. Schedule 6 - Initial Equipment and Inventory: Required starting equipment and inventory specifications
7. Schedule 7 - Key Performance Indicators: Specific performance metrics and targets
8. Schedule 8 - Disclosure Document: Franchising Code of Conduct required disclosure document
9. Appendix A - Operations Manual Table of Contents: Overview of operations manual content
10. Appendix B - Standard Operating Procedures: Key operational procedures and requirements
Authors
Retail
Food and Beverage
Hospitality
Professional Services
Health and Fitness
Education and Training
Automotive
Real Estate
Home Services
Business Services
Legal
Operations
Finance
Compliance
Business Development
Brand Management
Training
Territory Management
Executive Leadership
Commercial
Franchise Development Manager
Legal Counsel
Chief Executive Officer
Chief Operating Officer
Business Development Manager
Franchise Operations Manager
Commercial Director
Compliance Officer
Chief Financial Officer
Brand Manager
Territory Manager
Training Manager
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