This franchise application template has 6 pages and is a MS Word file type listed under our legal agreements documents.
Sample of our franchise application template:
FRANCHISE APPLICATION This Franchise Application Agreement (the "Agreement") is effective [DATE], BETWEEN: [FIRST PARTY NAME] (the "Franchisor"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME] (the "Applicant"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS Applicant recognizes the value of the Franchisor's reputation, know-how and unique experience with respect to the operation of [BRIEFLY DESCRIBE INDUSTRY AND BUSINESS]; WHEREAS Applicant wishes to apply to obtain a franchise to operate a [YOUR COMPANY NAME] at civic address [FULL ADDRESS], Province of [STATE/PROVINCE] (the "Franchise"). NOW THEREFORE THE PARTIES HERETO WITNESSETH THAT: 1. The Applicants hereby make application to enter into a Franchise Agreement with the Franchisor upon substantially the same terms and conditions as are set forth below and such other terms and conditions as are generally contained in the Franchisor's standard form of Franchise Agreement, a copy of which is annexed hereto as Schedule 1 (the "Franchise Agreement"), subject to such reasonable modifications as may mutually be agreed upon by the parties. 2. The Applicants shall form a corporation (hereinafter "[COMPANY NAME]") to enter into the Franchise Agreement with the Franchisor, and to administer the Franchise and otherwise execute the obligations of the Franchisee under the Franchise Agreement. 3. The Franchisor shall grant [COMPANY NAME] the right to use the Franchisor's system, business format, method, procedures, standards and trademarks, including the trademark "[COMPANY NAME]", in connection with the operation of a [COMPANY NAME] at the above-mentioned premises. 4. [COMPANY NAME] shall pay an initial franchise fee in an amount to be agreed upon by the parties for the opportunity to operate the above-mentioned franchise upon execution of the Franchise Agreement. 5. In addition to the initial franchise fee, [COMPANY NAME] shall pay a continuing weekly royalty, throughout the original and any renewal term of the Franchise Agreement, based on gross sales of the Franchise, as defined in Article [NUMBER] of the Franchise Agreement. The royalty rate payable during the initial term of the Franchise Agreement is [%] of the total gross sales derived from the operation of the franchise. Royalties payable during any renewal term may be varied, at the discretion of the Franchisor, to reflect the then-current royalty fee being charged by the Franchisor. 6. In addition to the foregoing royalty fee, [COMPANY NAME] shall pay a continuing weekly marketing fee, throughout the original and any renewal term of the Franchise Agreement, based on gross sales of the Franchise, as defined in the Franchise Agreement. The marketing fee payable during the initial term of the Franchise Agreement is [%] of the weekly gross sales derived from the operation of the franchise. The marketing fee is subject to a variation in any renewal term at the discretion of the Franchisor on the same basis as the foregoing royalty fee. 7. In addition to the foregoing royalty and marketing fees, [COMPANY NAME] shall pay to the Franchisor a continuing weekly advertising contribution, which shall not exceed [%] of gross sales, as defined in the Franchise Agreement, for the use of any regional and national advertising funds which may be established by the Franchisor. The said advertising contribution is subject to a variation in any renewal term at the discretion of the Franchisor on the same basis as the foregoing royalty fee. 8. The Franchise Agreement shall have an initial term of [NUMBER] years, and if [COMPANY NAME] qualifies, may be renewed for an additional period of [NUMBER] years, subject to the terms and conditions of Article [NUMBER] of the Franchise Agreement. 9. [COMPANY NAME] shall execute a Sublease Agreement with the Franchisor upon substantially the same terms and conditions as are contained in the Franchisor's draft Sublease Agreement, a copy of which is annexed hereto as Schedule 2 (the "Sublease Agreement), subject to such reasonable modifications as may hereinafter be mutually agreed upon between the parties. 10. [COMPANY NAME] and the Applicants shall enter into an agreement to purchase the assets of the Franchise, substantially upon the terms and conditions of the draft Asset Purchase Agreement annexed hereto as Schedule 3, at a price to be negotiated between the parties hereto (the "Asset Purchase Agreement"). 11. The total amount payable by [COMPANY NAME] and the Applicants hereunder in respect of the initial franchise fee and the purchase price of the assets referred to in the Asset Purchase Agreement shall be the sum of [AMOUNT] Dollars, allocated thereunder as provided therein. 12
