A franchise model is a business organization where an individual may start a business that sells goods or services developed by another individual or company.Franchises allow entrepreneurs to build a business based on the success of a time-tested business model.

One important advantage of franchises is the ability for new franchisees to use standard marketing and advertising campaigns developed by the franchisor. These campaigns are often directed at specific target markets or demographic groups interested in the company’s products. While many franchisees may need to contribute some capital for these campaigns, it is often significantly less than the overall cost of creating a new marketing or advertising strategy.