👉 A franchisor is a business entity that acquires and operates a franchise. Franchising refers to the process of allowing someone else to run a business in exchange for a fee or commission, typically through the use of a franchise agreement. In essence, a franchisor provides guidance on how to operate and manage a particular business while the franchisor itself remains the sole owner and operator. This allows the franchisor to focus on running their own business without being beholden to any specific rules or regulations.
