A free franchise contract is a legal document that is drafted when an individual or an organization opens a franchise of an organization with a chain of outlets and the franchise holder does not need to pay any franchise fees to the franchisor. The franchisee opens the franchise free of cost but still he has to follow the conditions laid down by the franchisor.

Sample Free franchise contract

Free franchise contract number: UR 56

Contract effective date: 15th November 2011

This free franchise contract has been drafted between Lyon Neil and Gas Garments Group as per the state laws of the state of Los Angeles.

As per the contract Lyon Neil  will be opening a franchise of Gas Garments Group from the contract effective date and the franchise will located at the below mentioned address:

43 Den Very Road,

Miami, Los Angeles.

There are few rules and regulations laid down that both the parties have to follow:

  1. The franchisee does not have to pay any fee in order to procure the franchise license. The franchisor will give it for free.
  2. The profit and losses will be shared equally between both the parties.
  3. The cost of taking the property on lease where the franchise is located will be incurred completely by the franchisee. Even the cost of decorating the interior will be incurred by him.
  4. The franchisee has to assure that he will insure the franchise before the contract begins in case of any damage to property or theft.

Signature of franchisee:                                               Signature of franchisor:

Lyon Neil                                                                    Bob Marshall

(MD, Gas Garments Group)


Franchise Agreements 

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