The word FRANCHISE comes from an old French word meaning privilege or freedom. Currently the term franchise refers to a right or privilege granted by a sovereign, a government, an organization, business or individual. The history of franchising as a concept dates far back into time when the king would grant certain commercial privileges or franchises to individuals.
The ancient system of franchising can be found throughout history: William the Conqueror mostly used the system successfully in his farming policies, the royalties being men and materials required to maintain his army.
In more recent times franchising evolved into an exclusive right to sell a certain company's products or services. Business format franchising which is franchising as we know it today came on the scene in the 1950s with the franchising of motels and fast food outlets. Business format franchising is essentially a natural extension of the previous forms of franchising. Modem franchising not only grants to the franchises the right to use the Franchisor's name and sell it's products but it also transfers to the franchises all the operating systems, training programs, advertising programs and essentially all relevant information which will help the franchisee succeed.In short, franchising brings together all the skills and the resources of an experienced company to unite them with the driving ambition and dedication of an individual investor.